Apple Upgrade: Everything You Need to Know Before Signing Up

The iPhone Upgrade Program by Apple is no more; it has been replaced by Apple Upgrade that has been designed using Klarna. The logic is simple: reduced monthly installments on selected iPhones, iPads, Macs, and Apple Watches. Here is the reality before you join the program.

Only Available in the US

For now, the Apple Upgrade program is exclusive to the United States.

Your iPhone Comes Unlocked

While you choose from AT&T, Verizon, or T-Mobile, the leased iPhone will be unlocked and ready to switch to any other carrier if you want.

You Need a Postpaid Plan

You need to have a postpaid wireless plan with an approved carrier. Prepaid wireless plans are not accepted.

Leasing Isn't the Same as Owning

It is here that most people overlook something. Just because you have leased the device does not mean you now have ownership over it. At the end of the leasing period, you can either:

• Paying off the outstanding balance in order to keep it, or
• Returning it and going for another leasing contract.

Missed Payments Won't Lock Your Phone

Failing to pay your monthly charge will not render your iPhone inactive. The unpaid charges will simply be added to the following month's charge without any penalties. However, if you fail to make three consecutive payments, Klarna may choose to terminate the lease and ask you to pay the total outstanding amount.

AppleCare+ Isn't Included Anymore

As opposed to the previous program, AppleCare+ is no longer included. This is important as the device will be inspected upon return for any damages, which means you have to cover the costs of repairs before returning it.

Apple Card Financing Still Exists

If leasing is not something you like, then if you have an Apple card, you can opt for Apple’s interest-free payment option and own the gadget outright.

Not Every Product Qualifies

The excluded gadgets include the iPhone 16, iPhone 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, A16 iPad, and Studio Display.

A Few More Rules to Know

• No price combinations for education with this program
• Only new devices refurbished devices don’t count
• Early terminate your lease at any time just by paying off the rest
• Soft credit inquiry only your credit will not be affected by your application
• Trade-ins are broken up into installments rather than a discount, and trade-ins can never be made from devices that are returned
• Not all credit cards are eligible to use with Klarna; this includes some Amex, Chase, and Capital One cards, although Apple card is fine