Apple has introduced ‘Apple Upgrade,’ a new installment program that allows consumers to lease a range of devices, including iPhones, iPads, Macs, and Apple Watches. This initiative replaces the previous iPhone Upgrade Program and offers more flexibility in device selection and payment terms.
Under the Apple Upgrade program, customers can lease an iPhone or Apple Watch for 12 or 24 months, while Macs and iPads are available for 24 or 36-month terms. At the end of the lease period, participants have the option to return the device, upgrade to a newer model, or purchase the device outright. Early upgrades and buyouts are possible but may incur additional fees.
Financing for Apple Upgrade is provided by Klarna, a financial services company known for its ‘buy now, pay later’ solutions. Applicants must undergo a soft credit check by Klarna to qualify for the program.
It’s important to note that not all Apple products are eligible for this program. Excluded devices include the Apple Watch SE, the base-level iPad, the iPhone 16, and the MacBook Neo. Additionally, the program is not available for business or educational purchases.
Unlike the previous iPhone Upgrade Program, AppleCare+ is not included in the Apple Upgrade plan. Customers interested in device protection will need to purchase AppleCare+ separately.
Existing participants in the iPhone Upgrade Program can continue their current plans, but new enrollments have been discontinued in favor of the Apple Upgrade program.
Apple’s collaboration with Klarna is not new. In October 2024, Klarna’s installment options were integrated into Apple Pay, allowing users to choose flexible payment plans during checkout. Following the discontinuation of Apple Pay Later in 2024, Apple partnered with third-party providers like Klarna to offer installment options within the Wallet app.
While the Apple Upgrade program offers consumers a flexible way to access the latest Apple devices, it’s essential to consider the total cost over the lease period, especially with the exclusion of AppleCare+. Potential participants should evaluate their financial situation and device needs to determine if this program aligns with their preferences.
