Apple has unveiled ‘Apple Upgrade,’ a new device leasing program developed in partnership with Klarna, a prominent ‘buy now, pay later’ service. This initiative allows U.S. customers to lease various Apple products, including iPhones, iPads, Macs, and Apple Watches, through manageable monthly payments.
The program offers flexible leasing terms: 12 or 24 months for iPhones and Apple Watches, and 24 or 36 months for iPads and Macs. Monthly payments are competitively priced, starting at $17.99 for the iPhone 17e, $11.99 for the Apple Watch Series 11, and $24.99 for the MacBook Air. At the conclusion of the lease term, participants have the option to upgrade to the latest device, purchase their current device outright, or return it and exit the program.
To enroll, customers undergo a soft credit check via Klarna, ensuring a streamlined approval process. Once approved, they can manage their lease agreements directly through the Klarna app, which provides access to billing schedules and payment tracking.
Notably, the ‘Apple Upgrade’ program does not include AppleCare+ coverage, a departure from previous financing options. Additionally, certain entry-level devices, such as the Apple Watch SE, base iPad, iPhone 16, and MacBook Neo, are excluded from this program.
With the introduction of ‘Apple Upgrade,’ Apple is phasing out its existing financing programs in the U.S., including the iPhone Upgrade Program and standard installment plans. This strategic shift aims to offer more affordable monthly payments, making Apple’s premium devices more accessible to a broader audience.
In the context of rising hardware costs due to global supply chain challenges, particularly the ongoing RAM shortage, this leasing model provides consumers with a flexible and cost-effective way to access the latest Apple technology without the burden of a significant upfront investment.
