Myself and others were able to create brand new characters on once overpopulated servers, so that issue has been fixed. Try it yourself, because it worked fine this morning. And the issue of people not able to log into the game because "server is full" was addressed days ago. The only lag I've ever experienced was due to too many people doing FATES in one small area, not too many people afk...

The auto-timeout feature should be optional, something that you tick on and off in your system configuration, because honestly there is no real reason for it. All the reasons it was needed at the beginning of the game have been addressed.