'Apple Upgrade' Program Reportedly Launching Next Week

[BGPL]

I would do this if Apple gave a decent amount for the used phones. I'll just stick to my 3 year upgrade program with Verizon, they give me over $800 for my old phone and I'm not switching to another provider so I don't mind "locking in" for 3 years. It's also effectively zero percent financing on the remaining $400 over 3 years.

 

[emlarsen]

Now I really wish I didn’t get this piece of **** iPhone Air.

 

[urnotl33t]

View attachment 2647091
But sure.

So that’s cumulative since 2018? Do any of those have annual fees?

I do similar as you, just on a smaller scale (for other not-so-lovely reasons). Nice tally you have there; impressive! Looks like you’re clocking an average of 29k per year. Well done!

 

[Ethrem]

So that’s cumulative since 2018? Do any of those have annual fees?

I do similar as you, just on a smaller scale (for other not-so-lovely reasons). Nice tally you have there; impressive! Looks like you’re clocking an average of 29k per year. Well done!

Those are my credit limits, not my cash back earned. I don't really track that particular value because it would just encourage me to spend more under the guise of "earning more."

It would be kind of hilarious if I somehow managed to squeeze $41K in rewards out of a Navy Federal no-frills Platinum card haha.

The AOD card is 3% everywhere up to $1500 a month (it was uncapped until last year or so, I've put that card through its paces since getting it in 2020), Cash+ gives me 5% on the internet bill and electric bill, King Soopers card gives me 5% on up to $3K a year of mobile wallet plus $3K a year for groceries with Kroger Pay (US Bank and Kroger just killed this card though, it's turning into a basic 2% Smartly card), Prime VISA gives me 5% on Amazon and at Whole Foods, one Citi Custom Cash is for 5% on dining, the other is for 5% on groceries, Apple Card for 3% on Apple purchases, FNBO Evergreen is my backup 2% card to my AOD card. Those are my main cards.

Oh and no AF's for any of them.

 

[urnotl33t]

Those are my credit limits, not my cash back earned. I don't really track that particular value because it would just encourage me to spend more under the guise of "earning more."

It would be kind of hilarious if I somehow managed to squeeze $41K in rewards out of a Navy Federal no-frills Platinum card haha.

The AOD card is 3% everywhere up to $1500 a month (it was uncapped until last year or so, I've put that card through its paces since getting it in 2020), Cash+ gives me 5% on the internet bill and electric bill, King Soopers card gives me 5% on up to $3K a year of mobile wallet plus $3K a year for groceries with Kroger Pay (US Bank and Kroger just killed this card though, it's turning into a basic 2% Smartly card), Prime VISA gives me 5% on Amazon and at Whole Foods, one Citi Custom Cash is for 5% on dining, the other is for 5% on groceries, Apple Card for 3% on Apple purchases, FNBO Evergreen is my backup 2% card to my AOD card. Those are my main cards.

Haha! Hey now, it can be done!

I had a tiny ($500 limit, not a typo. Five hundred dollars, credit LIMIT) chase freedom card I used for almost EVERYTHING. Paid it weekly (I still do), so it cycled quickly, no official “carried balance” even tho I had a “statement balance”. I pushed upwards of 12k a year across that card… zero interest, all 1.5% rewards plus their “Chase offers” rebates.

Like I said, I had a not-so-lovely situation and this card, plus one other, were my lifeline for 5 years. Life is better now, but I still run my limits low on purpose. It prevents potential for bad things, and my debt/income ratio stays around 3%.

I do have a couple other blockbuster cards (no, not the old movie rental people) if I need something… incredible. I keep those cards blocked and use them 2 or times year to keep them active. Not as blockbuster as yours, tho. Kudos to you!

 

[wilee]

View attachment 2647091
But sure.

exactly, this confirms my correction worth of mention 😉 paypal may be claimed as 3% everywhere but in reality it is far from true

 

[livmatus]

cost me 1200€ net to operate an iPhone for 6 years:
bought Xs Max, sold it, bought 13 Pro, sold it

now I am 2300€ in after buying the 17 Pro which will hopefully serve me for another 4-5 years

so if the price of the program is comparable, then why not, but I doubt it

 

[turbineseaplane]

And there are those of us that put everything possible on their cards to get the rewards (2% on my cards) then pay off the balance in full each and every month. Not everybody dives headfirst into debt but I think those of us that don't are in the minority.

Yeah, I think by definition those of us here talking about this and pondering doing any 0% financing are in the minority with "paying it off on time all the time".

There's a reasons Klarna has a "business" here.

 

[chuckles235]

Apple feeding that dependency for life. Kind of sick when you think about it. Akin to a drug manufacturer

 

[jonnyb098]

This demonstrates a great understanding of the mind of the typical American consumer by Apple. It's all about the monthly payments rather than the total cost. Expect record setting iPhone sales with the 18 Pro and Folding iPhone regardless of price increases. The gravy train will keep rolling and the stock will keep rising. I fully expect to see 36-month financing from the cellular carriers this Fall as well.

Exactly. On any product the typical naive consumer sees a “low” payment and thinks it’s fine. Apple could raise the price of an iPhone to $5000 and with payments it’s still under $100/month. The pure idiocy of the average consumer with basic finance is nauseating.

 

[jonnyb098]

Your cousin sounds like me many years ago! 🙂

You only live once and might as well enjoy it while you can!

Until you are old, sick and broke. Good luck!

 

[jonnyb098]

Agree!! I typically pay as soon as the charge settles to the cards, I havent used my debit card in years simply rather get reward points. Just on my Apple Card alone I have had since it first launched I have received $4200. Not counting any rewards on my other cards.

Oh they HATE you and anyone who pays off their cards every month. 🤣

 

[alfonsog]

I’m flat broke and going bankrupt right now. I have $120k of available credit including $30k on Apple Card but I’m in $75k in debt and my income got cut in 1/3 and I’m getting sued for $300k in a so stupid lawsuit there’s no way they can win but I’m just stuck for now. So I’m just going to have to keep my current tech for a couple years… or until I can move on from this hellhole of Southwest Florida when my mom passes. I have an iPhone Air, M4 Mac mini, Studio Display 1, iPad Pro M4, M2 Vision Pro, Watch 10 Silver Titanium. Probably will declutter and simplify I just cancelled all my subscriptions 2 months ago and I feel lighter and have a lot more time. Working on a couple ideas for the future but I’m 52 and need to reset completely chapter 7 complete wipeout no assets.

 

[mjs916]

A great way to get (or keep) people paying for things they can't afford and probably shouldn't be buying.


But hey ... “number must go up”, right?

That’s the important thing here.

It makes sense for investors for the number to go up. If I buy $500 in shares I don’t want my return on that $500 to be negative or even. I want to profit from it.

As for actual company revenue, sure coming in flat could be good, meaning stable demand and consistent earnings. That shouldn’t have to go up at all. You just don’t want it to go down. But shareholders act like it’s the end of the world and then all jump off a cliff.

 

[mjs916]

I’m flat broke and going bankrupt right now. I have $120k of available credit including $30k on Apple Card but I’m in $75k in debt and my income got cut in 1/3 and I’m getting sued for $300k in a so stupid lawsuit there’s no way they can win but I’m just stuck for now. So I’m just going to have to keep my current tech for a couple years… or until I can move on from this hellhole of Southwest Florida when my mom passes. I have an iPhone Air, M4 Mac mini, Studio Display 1, iPad Pro M4, M2 Vision Pro, Watch 10 Silver Titanium. Probably will declutter and simplify I just cancelled all my subscriptions 2 months ago and I feel lighter and have a lot more time. Working on a couple ideas for the future but I’m 52 and need to reset completely chapter 7 complete wipeout no assets.

You have a really good mindset about this. That light feeling is freeing when we reduce or stop consuming. Puts the rest of life into perspective.

 

[Mrkevinfinnerty]

Details are even more depressing (to me).


Apple plans to advertise the program as a way to have lower payments versus current financing programs. The company is planning to discontinue new enrollments for its current iPhone payment programs — the iPhone Upgrade Program and standard financing — to make way for the Apple Upgrade initiative.

Unlike the iPhone Upgrade Program of today, Apple Upgrade doesn’t include AppleCare.

So just like the current program but worse value.

Alright so what do iPhone Upgrade Program users do for the next iPhone release?

Throw your iPhone in the bin, it will immediately become useless.

 

[applebro]

For me, if it's 0% It's a no brainer. I will utilize this next time I need a new mac or ipad. But if there's an interest rate or fees, it's a hard no.

 

[Zclyh3]

Corporate does it all the time.

Also, YOU'RE NOT FORCED TO DO IT.

This is very true.

In order to maintain positive cash flow, many large computer suppliers (like CDW) offer leasing terms to companies for all any computer/server/IT devices they purchase. For laptops, it's usually a three year lifecycle and they get billed at a monthly rate x the number of laptops they buy. Companies often get favorable interest terms as well if they purchase a certain amount and are most likely not to default since they have usually have significant assets to back it up.

 

[Zclyh3]

For me, if it's 0% It's a no brainer. I will utilize this next time I need a new mac or ipad. But if there's an interest rate or fees, it's a hard no.

They will most likely offer 0% or a very low interest rate. However, the SECOND you miss a SINGLE payment, the APR is something crazy like 20-24%+. If that ever happened, I'd pay it off immediately.

Then again, I would not accrue any miles or points purchasing through Klara.

 

[tgwaste]

iPhone Fold $2500

over 24 months = $105/month
$2500 buys 170 shares of BLOX
170 shares of BLOX generates ~$65/month
give $65 to apple + $40 cash of your own money

after 24 months
You own iPhone fold
You still have stock generating $65/month in cash

thanks!

 

[applebro]

They will most likely offer 0% or a very low interest rate. However, the SECOND you miss a SINGLE payment, the APR is something crazy like 20-24%+. If that ever happened, I'd pay it off immediately.

Then again, I would not accrue any miles or points purchasing through Klara.

That's expected. I always pay my monthly statement in full, but i'm only speaking for myself, can't speak for others.

Supposedly Klarna counts toward the 3% for RH gold card, but I've never used klarna so I don't have any first hand experience. If it's clocked as a cash like transaction I think the only other card that would work would be the bilt ones, which I've never used before.

 

[TruthAboveAllElse]

There's definitely interest involved in the new program. No business is offering 0% interest loans these days.

We definitely don’t know.
There are still 0% financing options out there for a variety of things. When it’s specific to a particular product, it is subsidized by whoever sells that product.

 

[jimscard]

How does this differ from just trading in your old one and financing a new one like most people are doing today already?

As with the current iPhone upgrade program, when you trade in your device before it's paid off, Apple pays off the remaining balance on the old plan. So you don't get stuck paying off a device you no longer have.

 

[FreakinEurekan]

Even if someone can afford to buy the device outright, getting a zero percent interest loan to finance the purchase over a 24 or 36 month period isn't a bad idea.

"Zero interest" means they're making money some other way - probably from the purchase price of the product.

I try to always use the Apple Refurb store which - surprise, surprise - doesn't support "Zero interest" financing deals. Because, there's not as much profit (read: I'm not paying as much).

 

[Ethrem]

exactly, this confirms my correction worth of mention 😉 paypal may be claimed as 3% everywhere but in reality it is far from true

My AODFCU card is 3% everywhere up to $1500 a month and my US Bank King Soopers card is 5% everywhere that takes mobile wallet up to $3K per year. I've never maxed out the AODFCU card because it's pretty rare I have that much non-cat spend in a month as I highly optimize my spend, putting everything on the card that earns the most for the transaction.