A1. Yes, that could happen and then you would be stuck. I don't think they are supposed to do that until after letting you know of the clearance situation but I would call the counsulate and find out.
A2. Actually I recently heard about withdrawing the application, no one I know has tried...
A 1: Yes, you can apply early. In fact it is encouraged.
A 2: No, When you go for the interview, your current valid visa will be stamped "cancelled without prejudice", hence you cannot re-enter the USA. This is what I have been told by the US embassy in canada, I believe this is true.
A 3...
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