You are paying to eventually own the device just like any other payment plan. The only difference is you can trade in your device to pay for the remaining 12 payments after one year. You can...you don't have to, it's just an option. You can just as easily keep paying the monthly amount for months 13 through 24 and then the phone is yours free and clear.
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Apple Announces iPhone Upgrade Program for Annual iPhone Purchasers
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bingo, not sure what people don't understand about this. I just did option 1. I paid my iPhone 6 plus 64GB off for $380 and kept it because i can sell it for more than that right now. If I couldn't sell it for more right now I was at 12 months and would have just gave it to AT&T. I view it more like financing a car, not leasing.
Now I need to decide if I am going back with "Next" or to the Apple Upgrade Plan. My one fear though with this new Apple Program is if AT&T removed the $25 device discount for bringing your own device. You currently get that discount if you have over 15GB plan and use AT&T Next or BYOD. oh and the hassle and possible long wait because you have to do the Apple Program in an Apple Store store.... Where do you end up on the backlog queue?
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The only question I really have is, can I join this program if I'm in the middle of a 2-year contract? The confusing part on the program page states "If you don’t have any carrier commitments, you’re free to select a new carrier or stick with the one you have.". Well I technically have a carrier commitment, so does that mean I'm not eligible to join this program?
I really don't want to, but I feel like I'm going to have to pay AT&T in order to lose the carrier commitment and allow me to upgrade my iPhone. At least I'll be done with it from that point forward though.
I really don't want to, but I feel like I'm going to have to pay AT&T in order to lose the carrier commitment and allow me to upgrade my iPhone. At least I'll be done with it from that point forward though.
To me, it looks like the $129 price of the 2-year AppleCare+ is spread evenly across the 24 months. So if you upgrade yearly, you will have only end up paying for 1/2 of the $129 AppleCare+ price.
The interesting thing about Apple's Yearly Upgrade plan compared to AT&T Next is that Apple divides the price of the phone over 24 months.
On AT&T Next, to upgrade yearly, you have to be on their Next 18 plan, which has the price of the phone divided over 18 payments.
This makes Apple's plan a little less expensive per month, even though it has the extra cost of AppleCare+ added in.
If Apple didn't require going into a retail store to do their yearly upgrade plan, I'd do it.
Two covered accidental damage incidents, with a $99 deductible. You also get phone support service beyond the initial 90 days, if that matters to you (why not come here ;-)
yep, the in store thing and a concern about AT&T not liking that apple is doing it and removes the per device discount for bring your own. If they removed it, for me, my service bill would then be $25 more a month because I am on the 15GB plan.To me, it looks like the $129 price of the 2-year AppleCare+ is spread evenly across the 24 months. So if you upgrade yearly, you will have only end up paying for 1/2 of the $129 AppleCare+ price.
The interesting thing about Apple's Yearly Upgrade plan compared to AT&T Next is that Apple divides the price of the phone over 24 months.
On AT&T Next, to upgrade yearly, you have to be on their Next 18 plan, which has the price of the phone divided over 18 payments.
This makes Apple's plan a little less expensive per month, even though it has the extra cost of AppleCare+ added in.
If Apple didn't require going into a retail store to do their yearly upgrade plan, I'd do it.
Hmm, AT&T would cause a world of stink if they "exempted" Apple Yearly Upgrade devices as counting as "BYOD devices" (which currently qualify for the $25/month service discount). That'd truly suck.
When I signed up for Verizon's Edge plan (similar to the AT&T plan I imagine) it was made clear that the $25/mo off (cuz I'm on 15GB) was for the life of the line. I'm just planning on paying retail for my phone and enjoying the $25/mo because I'm no longer using the carrier to subsidize my phone.
Am I the only one tired of all these "payment plans?"
It's a two year installment plan with a one year option to trade up for new model. So if you do not want the next model you hold onto your phone and keep making payments until your two years is up, then it is yours. If you want to trade up after a year to the next model then you trade in your phone and start a new two year installment plan on the new one.
Or you pay off your installment contract, keep your phone, and then start a new contract to get a new one.
You're never required to trade-in your phone to upgrade at the one-year mark. Although for some people, doing that is the easiest method.
I just can't see AT&T being happy about it because when you really look at the numbers they were making money off people just turning in their phones. Why else would every company want a piece of this? Basically running their own Gazelle, nextworth, ebay, etc. But I agree, I think AT&T would see a lot of people take those new unlocked Apple financed iPhones elsewhere...
So what is everyone's feeling on the chances of getting the new iPhone on or near release date if you do this program? The whole in-store thing worries me. So I log in on Saturday right at 12:01 and setup an appointment, that appointment could be days/weeks depending on demand. Then when the appointment comes what if there are not any phones?
You also have to keep in mind, this basically exempts AT&T for paying Apple for the phone. AT&T no longer has to worry about paying subsidies and getting their money back from you later on. I'm hoping they keep the $25 BYOD discount on there. I don't see why they wouldn't.
Basically if you setup an appointment, you reserve a phone in Apple's eyes. You shouldn't worry about getting it on the day of your appointment. I would recommend getting in early, just like if you were pre-ordering the phone for a day 1 delivery. I've gotten every iPhone on day 1 through various means, waiting in line, pre-ordering, having it shipped to my house, making a reservation in the store, etc.
However, what I would be worried about, is not having the option to join the program on Saturday. If this option isn't available, you just get pushed further and further down the queue of people getting the phone and it'll make it more difficult for you.
If Apple does that they're dumb. On the other hand, depending on how strict they're being on credit they might have a bunch of customers fail to qualify and they're stuck with unsold phones. Can you walk away cost-free from a preorder with Apple?
I have you figured anything out on this? I'm also on a two year contract and only one year in. I mean if the phone is unlocked how would they know you would just take the SIM card from you current phone and put it into the new one.
Exactly! They said the phone is unlocked so I'm tempted to believe this. HOWEVER, why do they ask on the upgrade page to check your upgrade eligibility with your carrier? This is what is confusing to me....
I know and I wasn't able to determine what that meant from Apple's website regarding upgrade eligibility. I really don't know what to do because I don't want to lose my unlimited data plan that I'm grandfathered into. I just don't know how ATT would ever know I purchased the new phone since the loan would be through Apple directly.
I don't know if AT&T would ever know, but it does sound like Apple may be checking folks AT&T status. Be a bummer if they deny sales to folks in current 2-year contracts.
I don't know what Apple would get out of doing that.I don't know if AT&T would ever know, but it does sound like Apple may be checking folks AT&T status. Be a bummer if they deny sales to folks in current 2-year contracts.
I know it would really stink I only want to upgrade because I need more storage. When I checked eligibility it only showed options for ATT next or to pay the full price of the phone. I wonder if it shows anything different for anyone else.
So don't kill me if this doesn't come true, but I have a friend that works at the Apple Store (used to work there myself years ago) and I asked her "what if I just want to upgrade with [Apple] and stay with my carrier? Can I upgrade with [Apple] even if AT&T says I'm not eligible"? She said yes, this program is not a "true" upgrade. It's like a line of credit you get toward the phone that is paid off eventually.
It just sucks for us to find out everything on Saturday to be sure.