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No you don't lose your money. I had less than 1 month left on the economy plan when I upgraded to the next level. They charged me the difference for the one month and I paid for the next year at the higher rate.
You do need to do this on the phone if possible, that way you may get a discount from the saleperson. In your case you may be able to just pay the difference if you do not want to extend the plan.
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