Apple Launches 'Apple Upgrade' Device Leasing Program With Klarna in U.S.

Apple has officially launched Apple Upgrade, a new hardware leasing program provided by Klarna for iPhone, Apple Watch, Mac, and iPad customers in the United States.

The program is available through the Apple Store online, the Apple Store app, and Apple Store locations. It gives eligible customers a choice of lease lengths and the option to upgrade, purchase, or return their device at the end of the term.

Lease Terms and Starting Prices

Apple Upgrade offers 12- and 24-month leases for iPhone and Apple Watch, while Mac and iPad are available with 24- and 36-month terms. Prices start at $17.99 per month for iPhone, $11.99 for Apple Watch, $24.99 for Mac, and $11.99 for iPad, although pricing varies by device and lease length.


Customers can trade in a device when first enrolling to reduce their monthly payment. Lease payments made with Apple Card are also eligible for 3 percent Daily Cash.

Applications are handled by Klarna and are subject to eligibility and credit approval. Apple says applying involves a soft credit inquiry that will not affect the applicant's credit score.

No security deposit is required, and the first monthly payment is due approximately 30 days after the device ships or becomes available for pickup. Ending a lease before the initial term expires may result in substantial fees.


At the end of the initial term, customers can return the device and leave the program, pay a one-time purchase fee to keep it, or apply for a new lease and return the original device as part of an upgrade. If no action is taken, the lease can continue month to month for up to six months, potentially at a higher monthly rate, before the purchase fee is charged.

Apple stresses that this is a consumer lease rather than a purchase or loan. Customers do not own the device unless they pay the purchase fee, insurance is not included, and additional charges may apply if a leased product is lost, damaged, or returned in unacceptable condition. AppleCare can be added separately.

Eligibility and Device Restrictions

Apple Upgrade is limited to eligible U.S. residents outside U.S. territories. Applicants must meet the age requirement in their state, have a Social Security number or ITIN, an accepted credit or debit card, an Apple Account in good standing, a Klarna account, and a phone capable of receiving verification codes.

Customers leasing an iPhone must activate it with AT&T, T-Mobile, or Verizon, and prepaid carrier plans are not supported. The leased iPhone remains unlocked.

Not every current Apple product is eligible. Apple specifically excludes iPhone 16, iPhone 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, iPad with A16, and Studio Display. Refurbished accessories are also excluded.

Apple Retires Previous iPhone Programs

With Apple Upgrade now available, Apple is discontinuing the iPhone Upgrade Program and iPhone Payments in the United States.

Eligible customers already enrolled in the iPhone Upgrade Program will be able to move to Apple Upgrade, use Apple Card Monthly Installments, purchase their next device outright, or choose carrier financing.

More details at the link below...

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