MacRumors

macrumors bot
Original poster
Apr 12, 2001
54,231
16,064


Apple today made its Apple Card interest-free monthly installment payment plan option available for the Apple Watch for the first time, allowing U.S. Apple Card holders to pay for the Apple Watch over time with interest-free payments.

applewatchpaymentapplecard.jpg

When purchasing an Apple Watch using Apple Card Monthly Installments, users will make one installment payment each month for twenty four months, which is the same purchase plan available for iPhone. Apple Card users also earn the three percent standard Daily Cash back for purchases through Apple.

Apple in June made interest-free monthly installment plans available for Macs, iPads, and other Apple products, but the Apple Watch was not included as an eligible purchase option until today, as noted in a new support document.

The new Apple Card Monthly Installment option for Apple Watch is prominently displayed when making an Apple Watch purchase from the online Apple Store or the Apple Store app.

A standard $399 Apple Watch Series 6, which is the entry-level pricing, costs $16.62 per month when using the Apple Card payment option.

Article Link: Apple Watch Now Eligible for Apple Card Monthly Installments
 

InGen

Contributor
Jun 22, 2020
218
750
This is big news if true.

And since it is true this is very big news. Expect to see big market share growth for Apple Watches in the wearables market and the doubling down on making the Apple Watch a Health-Focused device rather than media consumption/interaction device will justify this purchase for a lot of people who needed a reason to finally get on board.

thank you Apple, the blood oxygen sensor is the reason I’ll finally be jumping onboard and getting my first Apple Watch
 
Comment

btrach144

macrumors demi-god
Aug 28, 2015
2,274
5,275
Indiana
They need an iPhone upgrade program for the Apple Watch.

These devices aren’t cheap and the S5 and S6 appear to be incremental rather than revolutionary updates. People are going to hold onto their devices for longer unless they have a quick and easy way to get money from their old watch.
 
Comment

frumpy16

macrumors 65816
Dec 8, 2008
1,126
933
What do you mean it won’t get rid of the loan?
I don’t think it’s actually a loan but haven’t done one myself. I do have the Apple Card though. I think it’s a deferred payment arrangement essentially like other cards with 0% offers. 0% interest as long as you pay each month If you go late, interest becomes due and possibly even retroactively.
 
Comment

MinimeJer05

macrumors regular
Sep 15, 2020
148
159
Minnesota
So does the loan hit your credit?
It shouldn’t. It’s not a new loan or application — it’s just a monthly payment tied into your existing credit card. The only way you can pay it off early is by paying the remaining balance. You can’t make a higher payment one month.
 
  • Like
Reactions: mashdots
Comment

Ariaizadi

macrumors regular
Apr 11, 2015
152
64
It’s a revolving credit line. When you make the purchase the full amount is subtracted from your available credit and every month, the monthly payment is added to your minimum payment amount. It will not add anything to your credit files other than the fluctuating utilization percentage which occurs with normal usage. You can always pay early but have to pay the cards current balance first as that’s subject to interest.
 
Comment

MinimeJer05

macrumors regular
Sep 15, 2020
148
159
Minnesota
Ehh, sorta yes and sorta no. If Apple wants to let me pay it off at 0% I’d rather hold old on to my cash for now.
Also beneficial for those purchasing a higher end model (SST) as those start to add up. $800 for a Watch is kinda insane and a monthly payment could help loosen the blow. I debated going the monthly route but don’t like not being able to make a larger payment on any given month, so I just bought it outright.
 
  • Like
Reactions: FriendlyMackle
Comment

jmgregory1

macrumors 68030
If you have to finance a $400 watch, you should not be buying it. Full stop.
It can be the smarter way of buying, especially when it’s zero interest / fees. I do think it makes more sense when talking about a $2k MacBook Pro, for example, or as has been an option, a $1200 iPhone Pro. The Apple Card is definitely a smart thing for those that can afford to get one, given you can also save 3% on Apple purchases.
 
  • Like
Reactions: FriendlyMackle
Comment

Wolffie

macrumors regular
Sep 6, 2008
165
8
I disagree with you. People should be holding on to the watch as long as possible, but people can choose differently.
Also, it does that.

Screen Shot 2020-09-15 at 9.58.22 PM.png


They need an iPhone upgrade program for the Apple Watch.

These devices aren’t cheap and the S5 and S6 appear to be incremental rather than revolutionary updates. People are going to hold onto their devices for longer unless they have a quick and easy way to get money from their old watch.
 
Comment

frumpy16

macrumors 65816
Dec 8, 2008
1,126
933
What? I had fund for Apple Watch yet I still finance it since it’s interest free. You got the watch and you also got interest from your savings. What’s not to like? 🤷🏻‍♂️
Yeah this is technically the right answer. From an economics perspective the rational choice is to take the 0% and invest it. However, the rate of return on savings (especially right now) for this small sum of money is essentially trivial. And investing in a stock would not really be prudent since you need the funds to pay for the watch.

Anyway, if you could buy it outright but aren’t that’s not really the situation I’m talking about.
 
Comment

tlnargi

macrumors regular
Oct 16, 2019
166
107
It’s a revolving credit line. When you make the purchase the full amount is subtracted from your available credit and every month, the monthly payment is added to your minimum payment amount. It will not add anything to your credit files other than the fluctuating utilization percentage which occurs with normal usage. You can always pay early but have to pay the cards current balance first as that’s subject to interest.

So if your card balance is $100 and remaining Apple Watch balance is $200, to pay off the watch you pay $300 total for one month?
 
  • Like
Reactions: cygnusjen
Comment

FriendlyMackle

macrumors 6502
Oct 29, 2011
472
241
NYC
Ehh, sorta yes and sorta no. If Apple wants to let me pay it off at 0% I’d rather hold old on to my cash for now.
Not only that, but you're still getting 3% back or whatever it is for using the Apple Card to purchase an Apple product. It's a total incentive to purchase, whether on installment or upfront! This is a very smart move on Apple's part.

And I agree with the other poster who said they should do an 'upgrade' program! That would be perfect, and they would be able to put more refurbished watches into the market for users who want a discount with an Apple warranty.
 
Comment

FriendlyMackle

macrumors 6502
Oct 29, 2011
472
241
NYC
What? I had fund for Apple Watch yet I still finance it since it’s interest free. You got the watch and you also got interest from your savings. What’s not to like? 🤷🏻‍♂️
Exactly — and I put mine into a mixed bonds + 11% stock account (savings). So, I'll make are 6% on the money over the course of one year, and 10-12% over the course of two years!
 
Comment

TonyC28

macrumors 68020
Aug 15, 2009
2,161
5,949
USA
One thing that is kinda weird when doing 0% with Apple is that the amount is not reflected in your balance. Also, if your balance is at $0 for regular purchases and you get a credit from a return or refund that amount is automatically applied to the 0% financing deal.
 
Comment
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.