Apple has launched a new ‘Upgrade’ program, offering customers leasing options for the company’s products, but it’s not available in Canada.
The program, available in the US, allows customers to lease iPhones and Apple Watches over 12 or 24 months, or Mac and iPad products over 24 or 36 months. According to Apple’s website, customers can use the trade-in program to lower costs or get cash back when making lease payments with the Apple Card.
It is a lease program, meaning customers don’t own the device at the end of the lease period.
Customers can upgrade their device to the latest generation, purchase it with a one-time payment, or simply return it and exit the program at the end of the lease. The program is offered through Swedish fintech company Klarna, known for its buy now, pay later app.
Before the launch of Apple Upgrade, there were reports of Apple’s alleged plans to lock down financed devices. However, Apple has since said it won’t limit device capabilities for customers who miss payments.
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Klarna told journalists that if customers miss three consecutive payments, it will terminate the lease and customers will need to pay the full outstanding balance.
Apple Upgrade is available only in the US through Apple’s online store and at physical store locations. Alongside the launch, Apple has stopped offering its iPhone Upgrade Program and iPhone Payments programs in the US.
While Apple Upgrade isn’t available in Canada, there are other purchase options available for Canadians, including direct purchases and financing options. Most Canadian carriers offer 24-month device financing programs for smartphones, as well as lease-like device return programs where Canadians can choose to return the phone after 24 months, or pay to keep it.
These programs may have their drawbacks, but at least they don’t lock customers out of their phones if they miss a payment.
The launch of Apple Upgrade comes amidst rising prices driven by AI companies and memory makers. Many companies, including Apple, have been forced to raise prices on their products.
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The new program may offer a seemingly cheaper way to upgrade Apple tech, but it will be interesting to see how many customers will leverage it when new devices arrive in September.
As the company prepares to unveil its folding iPhone Ultra, it will be interesting to see how customers respond to the Apple Upgrade program.
For now, Canadians will have to look to other options, such as carrier financing programs or direct purchases from Apple.
While these options may not be as flexible as Apple Upgrade, they do offer some benefits. MobileSyrup may earn a commission from purchases made via our links, which helps fund the journalism we provide free on our website. These links do not influence our editorial content. Support us here.
