Apple is set to discontinue its longstanding iPhone Upgrade Program, a service that has allowed customers to acquire the latest iPhone models through manageable monthly payments. This program, which also included AppleCare+ coverage, is being phased out in favor of a new leasing initiative known as Apple Upgrade.
Introduced in 2015, the iPhone Upgrade Program enabled users to obtain an unlocked iPhone with AppleCare+ by making monthly payments. After 12 payments, participants were eligible to trade in their current device for the newest model, ensuring they always had access to the latest technology. This program was particularly appealing to those who preferred not to be tied to specific carriers, offering flexibility and peace of mind.
The forthcoming Apple Upgrade program, slated for launch on July 28, aims to provide a more comprehensive leasing option. Unlike its predecessor, Apple Upgrade will extend beyond iPhones to include other Apple products such as Macs, iPads, and Apple Watches. This expansion reflects Apple’s recognition of consumer demand for flexible financing across its product range.
Under the new program, customers can lease devices for periods ranging from 24 to 36 months, depending on the product. Notably, AppleCare+ will no longer be bundled automatically; instead, it will be offered as an optional add-on. This change allows users to customize their coverage based on individual needs and preferences.
Financing for Apple Upgrade will be managed by Klarna, a global installment payment provider operating in 26 countries, including the United States, Canada, and several European nations. This partnership is expected to facilitate a smoother rollout of the program across multiple regions, leveraging Klarna’s extensive international presence.
Existing participants in the iPhone Upgrade Program can continue their current arrangements until completion. However, new enrollments will be directed toward the Apple Upgrade program, marking a significant shift in Apple’s approach to device financing.
In January 2026, Apple discontinued the iPhone Upgrade Program in the United Kingdom, transitioning to a more traditional financing system. This move was associated with the conclusion of Apple’s partnership with Barclays Bank, which had supported the program in the UK. The introduction of the Flexible Finance Account in collaboration with Creation, a Belfast-based consumer finance company, signaled a shift toward more adaptable financing options for UK customers.
The transition from the iPhone Upgrade Program to Apple Upgrade signifies Apple’s commitment to providing flexible and inclusive financing solutions. By expanding the program to encompass a broader range of products and offering customizable coverage options, Apple aims to cater to the diverse needs of its global customer base. This strategic move not only enhances accessibility to Apple’s ecosystem but also reflects the company’s responsiveness to evolving consumer preferences in device acquisition and financing.
