Apple Upgrade program with Klarna leasing contracts is here
Apple Upgrade is here, a new US leasing program for iPhone, iPad, MacBooks, and Apple Watch. Developed in partnership with Klarna, Apple Upgrade replaces the previous iPhone Upgrade program and iPhone Payments.
Apple Upgrade offers lower base prices than the iPhone Upgrade program. iPhones start at $17.99 per month, and Apple Watches start at $11.99 per month. Macs can be leased starting at $24.99 per month, and iPads start at $11.99 per month. AppleCare+ is optional and not included in the lease price. Alternatively, customers can choose AppleCare One.
There are 12- and 24-month leasing options for the iPhone and Apple Watch, and 24- and 36-month options for the Mac and iPad. Leasing costs vary depending on the device and are lower if you trade in an older device, with the trade-in value being credited monthly. Apple provides some sample prices (excluding taxes and trade-in credits):
- iPhone 17 Pro with 256 GB ($1,099) – The typical monthly rate is $31.99 on a 24-month lease or $45.99 on a 12-month lease.
- 42mm Apple Watch Series 11 ($399) – The typical monthly rate for a 24-month lease is $11.99 per month, or $21.99 for a 12-month lease.
- iPad Pro 256 GB ($1,199) – The typical monthly rate is $24.99 for a 36-month lease or $31.99 for a 24-month lease.
- 16GB 14-inch MacBook Pro ($1,999) – The typical monthly rate is $38.99 for a 36-month term and $53.99 for a 24-month term.
When leasing an iPhone, customers must choose a plan from AT&T, Verizon, or T-Mobile. Prepaid plans are not available. iPhones must be leased with a mobile contract but are unlocked, allowing customers to switch providers if needed. MVNOs like Mint Mobile or Visible are not supported.
At the end of the leasing period, customers can choose whether to return the device and leave the program, pay the remaining amount owed for the device with a one-time payment and keep it, or return it and switch to a new device with a new leasing agreement.
The payout amount is the difference between the lease payments made during the lease term and the device’s retail price, less any remaining trade-in credits. Klarna does not charge any fees for the leasing program. For example, you can lease an iPhone valued at $1,099 and then purchase it for $1,099 – with no additional costs other than taxes.
As with trade-ins, Apple also sends a prepaid and pre-addressed shipping box for device returns or upgrades. If you don’t choose to pay the purchase price at the end of the lease program, the device does not become your property and you must return it.
iPhone upgrade program is being discontinued
The iPhone Upgrade Program, however, is being discontinued, and iPhones can no longer be purchased through this program. Existing participants can continue to pay off their iPhones but must switch to Apple Upgrade or another payment option for their next purchase. Apple Card holders can still purchase devices using the Apple Card Installment Plan or choose Apple Upgrade and receive 3% cashback on lease payments with their Apple Card.
Apple Upgrade is available for both online and in-store purchases. Customers can select their preferred leasing option and, after a non-binding credit check and if they meet the requirements, receive immediate approval from Klarna. Leasing information such as the payment schedule, total price, and remaining payments can be managed in the Klarna app.
Most iPhone, iPad, Mac, and Apple Watch models are eligible for the Apple Upgrade. However, the iPhone 16, iPhone 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, iPad (A16), and Studio Display are excluded. The Apple Upgrade cannot be combined with education discounts, and refurbished devices are not available through lease. Apple also excludes purchases made through the Apple Employee Purchase Program, as well as purchase programs for businesses, government agencies, veterans, and military personnel.
Small print
Leaseholders can terminate their lease early and return the device. However, Apple points out that “significant fees” may apply for early termination. These fees correspond to the remaining balance of the lease. Therefore, anyone who terminates the lease three months early must pay for the remaining three months. There are no fees for early termination of the lease agreement.
At the end of the lease term, customers must either upgrade the device, terminate the lease, or purchase the device. Otherwise, the lease will automatically convert to a monthly contract for up to six months. The monthly payments will remain the same; however, any trade-in credit applied monthly will end with the lease, which may increase the monthly payments. At the end of the monthly contract term, the customer will be billed the purchase price.
Damage, loss, or theft of an iPhone may incur fees. Klarna assesses the damage upon return and calculates the costs accordingly. With AppleCare+, only the service fees apply; without AppleCare+, the full cost of the assessed damage must be paid.
If a customer misses a payment, it will be credited to the following month’s payment, but no late fees will be charged. After three consecutive payment defaults, the lease agreement terminates, and the customer must pay the entire outstanding amount minus the device’s return value. If Klarna is unable to collect the payment, the case will be handed over to a debt collection agency. Apple states that Klarna support offers a one-month payment deferral as well as the option of early termination with an installment plan.
Lease agreements are only available to customers 18 years of age or older (or the legal minimum age in their state of residence) with a valid Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN). Customers must be U.S. residents; residents of U.S. territories are excluded. An active Apple account, a Klarna account, and a credit or debit card are required.
Availability
Apple devices can now be leased in stores or online with Apple Upgrade.
Apple upgrade prices: iPhone from $18/month
With Apple Upgrade, you can lease an iPhone starting at just $17.99 per month. See below for a full breakdown of starting prices.
iPhone
- iPhone 17e: From $17.99/month for 24 months
- iPhone 17: From $22.99/month for 24 months
- iPhone Air: From $28.99/month for 24 months
- iPhone 17 Pro: From $31.99/month for 24 months
- iPhone 17 Pro Max: From €34.99/month for 24 months
Apple Watch
- Apple Watch Series 11: From $11.99/month for 24 months
- Apple Watch Ultra 3: From $24.99/month for 24 months
- Apple Watch Hermès Series 11: From $40.78/month for 24 months
- Apple Watch Hermès Ultra 3: From $47.03/month for 24 months
iPad
- iPad mini: From €11.99/month for 36 months
- iPad Air: From €15.99/month for 36 months
- iPad Pro: From $24.99/month for 36 months
Mac
- MacBook Air: From €24.99/month for 36 months
- iMac: From $28.99/month for 36 months
- MacBook Pro: From $38.99/month for 36 months
- Mac Studio: From $48.99/month for 36 months
Devices not listed above are currently ineligible for the Apple Upgrade Program. Key exceptions include the iPhone 16, Apple Watch SE, entry-level iPad, MacBook Neo, and Mac mini.
You can find out more about the Apple Upgrade Program on the Apple website. The Apple Upgrade is currently only available in the USA.
