Apple's Upgrade Program Now Available for iPhones Purchased Through Online Store

[macduke]

I use my credit card to pay for everything then pay it off each month. In the past year I have earned over £200 from my credit card. It's money for nothing.

Shameless plug but my Amazon card is amazing. I pay it off each month with auto pay and get 3% back on Amazon purchases, 2% back on stuff like gas and restaurants, and 1% back on everything else. I can only use the money on Amazon, but it's available almost instantly and I can use it towards practically anything. Best rewards program I've tried. Wish I had gotten one years ago whenever they were first available.

--

If people are smart with their money then credit can be a great tool. I had a crap credit score back in college but worked on it and now we just got approved for a new mortgage on a house nearly twice as big (for my wife's expanding daycare) and we're essentially paying the base rate which is incredibly low right now. Did the iPhone upgrade program too. Nice program, especially now that it's online. And we buy used cars with cash and take care of them. My car is 18 years old and we're finally replacing it this summer, even though it still runs, to get an Outback for our growing family. It was the first car (used) I bought as a teen. People just need to be smart and buy what makes sense. We budget and buy what we enjoy. Some of us like having a new iPhone every year and this program makes it easy. Some people like my wife only get a new phone every 3-4 years. It is what it is.

The problem with Americans is that many are uneducated or undereducated about credit, budgeting, and saving. If I remember right, it's something like 60% of all Americans have absolutely no savings. Our schools are failing in educating about finances. This is one of the most important areas of study for teens and young adults and hardly anyone seems to care about improving the education.

 

[chromite]

glad so many of you don't get the picture. Continue your debt programs. American education at its finest.

This program has no interest. You actually get the phone for cheaper through this program than buying it outright because of cash back from credit cards.

 

[XTheLancerX]

Awesome!! Really hoping this isn't always going to be delayed like this. Like, I hope we can always get iPhones online from the start through these installment plans, not have to wait all the way till April or something weird.

If I can just finance normally through Apple, not have to go to the Apple Store that's two hours away, not have to wait till April, etc, I will do it every time rather than through any carrier. Having freedom in mind is absolutely what I need right now, especially since I'm currently on the fence between Verizon and T-Mobile.

 

[Daws001]

I buy a new iPhone every year. Every year I have to go on craigslist and list my old phone, and worry about getting robbed and shot dead. I rather pay the monthly fee and save my life (and time from selling old phone).

Apple should make an add from this to sell their upgrade program. "Wanna get shot dead because craigslist? Then use our convenient new upgrade program."

 

[Chupa Chupa]

Not a terrible deal for those who upgrade annually - it's basically getting AppleCare+ for free. And even if you upgrade every two years, like me, it's almost a wash by my calculations. The only way it's appreciably more expensive is if you have a venue to sell you phone that doesn't charge a 10+% commission like eBay.

128GB iPhone 6s as example if bought outright, not via Apple's plan w/o AppleCare+:

$849 - (net after eBay commission) $350 resale value after 1 year = $499 proceeds/12 months of use = cost of ownership $41.59 per month.

I haven't looked into the program too far. It would be nice if you could pay for the first year upfront just not to have to be bothered with the monthly payment.

 

[kybldmstr]

I wonder how Apple will handle the iPhone 7 launch. Will there be an online option for current upgrade customers to send in their iPhone 6s while at the same time purchasing the iPhone 7 on a new upgrade plan?

 

[gixxerfool]

Does Verizon charge you $20 or $40 for your access line fee on the upgrade program through apple?

I don't know about through apple. From what I was told by Verizon if you're on the old subsidy plan and you only move your device to a payment plan they have to give you the $25 credit every month. So right now, instead of the old $40 access it's $15 for me.

 

[kyleh22]

I would like to get on the three year upgrade plan please.

 

[B4U]

American economics at its finest. You are a complete (the term "loser" was suggested as being too rude but I can't help the fact if you can't afford something to begin with and yet you still want something you cannot afford AND you refuse to buy something in your own budget range, then you are pretty much a "loser" in my book).

If you cannot afford to pay $649 + taxes up front for a smartphone. Sorry if you need to finance a smartphone then you really need to go back to school and learn how to count. This is how Americans get in debt. You buy something you cannot afford. OR just buy something within your budget.

Either pay for it in full or SAVE UP until you can afford it. These programs have ludicrous interest rates and their entire objective is to trap you paying interests because you miss payments/stop paying. There is no "free" service to the general public on helping you buy anything.

huh?
Did you happened to miss the 0% interest rate?
In fact, a lot of us are financially capable paying it off immediately, but there is no need to do so as there will not be any interest that needs to be pay back.
[doublepost=1461637179][/doublepost]

GO READ THE TERMS AND AGREEMENTS.

Section 1, paragraph 4):

• Credit Card Interest and other fees. You will be charged 0% APR on the Installment Loan. However, the issuer of your credit card may charge you interest or other fees under the terms and conditions in your cardmember agreement. This may include any applicable interest on unpaid balances or late payments. Your card issuer may not provide certain benefits in connection with loan payments charged to your card.

Not only that you are basically wasting your money trading in a phone each year. Just buy the phone in full, sell it for more money instead of having to refinance ANOTHER device the next year. Ridiculous financing for a cellphone. You are not buying a car here. It's a cellphone. Skip the stupid program and do the math. there is no free lunch.

Only if you don't pay off the credit card each month...
But, I do pay it off each month so that the banks hate me.

 

[puma1552]

doesnt seem to be available for the se.

 

[imola.zhp]

Applecare does not cover lost or stolen, so until it does I'll stick with my current insurance provider.

 

[jclardy]

Close, but not exactly. Looks like there's a $30 premium ($777.84 - $99 Applecare - $649 retail device cost = $29.84). So if you paid the device off over 24 months, you overpaid by $30 to have the option to turn it in at the 12 month for a new device. Pretty reasonable, seems to me. If you know you're going to keep it 24 months, there's always the normal installment plan, which works out to exactly the retail price.

Strange it doesn't work with T-Mobile, though.

AppleCare is actually $129 now, so it is identical in cost, but the payment is deferred with no interest.

 

[gmanist1000]

Wish I could hop on board now. Have to wait until September for my current 2-year contract to end. Once the iPhone 7 comes out, I will switch over to this so I can upgrade every year.

 

[MelSur]

Ok, I am confused. I used this program to get 3 phones during the last phone cycle and they are all on Tmobile so am I out of luck and have to go to the store? UGH

Also a Hint, once you get your information from Citizen Bank in Email you can login and change the credit card to a checking account number. As such I am assured of no Credit card interest fees.

 

[maxsix]

American economics at its finest. You are a complete (the term "loser" was suggested as being too rude but I can't help the fact if you can't afford something to begin with and yet you still want something you cannot afford AND you refuse to buy something in your own budget range, then you are pretty much a "loser" in my book).

If you cannot afford to pay $649 + taxes up front for a smartphone. Sorry if you need to finance a smartphone then you really need to go back to school and learn how to count. This is how Americans get in debt. You buy something you cannot afford. OR just buy something within your budget.

Either pay for it in full or SAVE UP until you can afford it. These programs have ludicrous interest rates and their entire objective is to trap you paying interests because you miss payments/stop paying. There is no "free" service to the general public on helping you buy anything.

Apple sincerely hopes your logic, good common sense and wisdom is something their customer base cannot understand. If others did agree and apply these values, the vast number of impulse purchases would drop dramatically. A result Apple is not prepared for

 

[AlterZgo]

You guys don't read the terms. It's not about whether or not you have great credit to qualify for the 0% APR in the first place, it's the fact that these programs are to get people who can't even pay their bills on time to suffer even more. The loan installment is thru your credit card.

Wow. You must be one of those people who have zero discipline and/or finances to be able to pay off your credit card on a monthly basis.

Frankly, I like using credit cards because I get cash back, miles, free extended warranty, travel insurance, an ally for returns when the merchants are being *******s, etc. I pay off my credit card 100% each month and have basically paid zero interest for decades now.

As others have mentioned, the iPhone upgrade program is perfect for people like me who actually like upgrading their phones annually but don't want the hassle of selling their phones and who pay off their credit card monthly.

Are there people who can't afford to pay the full price for a new iphone and use this as a way to get one? Yeah. Sure. But what do you care about how people want to spend their money?

 

[Zaqfalcon]

What happens if a new iPhone isn't released within 12 months?

 

[617aircav]

What happens if a new iPhone isn't released within 12 months?

When has a new iPhone not been released in 12 months?

 

[redpandadev]

I don't know about through apple. From what I was told by Verizon if you're on the old subsidy plan and you only move your device to a payment plan they have to give you the $25 credit every month. So right now, instead of the old $40 access it's $15 for me.

The lower. Verizon sees it as a BYOD.

 

[Zaqfalcon]

When has a new iPhone not been released in 12 months?

iPhone 4 June 2010
iPhone 4S October 2011

Not an inconceivable occurrence.

 

[CJRhoades]

What happens if a new iPhone isn't released within 12 months?

Nothing. It's a 24 month loan. When a new iPhone comes out, you can trade your phone in for a new one and start over, or keep it until its fully paid off and do whatever you want with it.

 

[Juicy Box]

huh?
Did you happened to miss the 0% interest rate?
In fact, a lot of us are financially capable paying it off immediately, but there is no need to do so as there will not be any interest that needs to be pay back.
[doublepost=1461637179][/doublepost]
Only if you don't pay off the credit card each month...
But, I do pay it off each month so that the banks hate me.

The poster mentioned knowing about the 0% terms from Apple, but he says that when the payment is charged to the customers credit card, then it is no longer 0%. I don't see it that way though.

I really don't understand what the poster's problem is with this program or free financing in general. He acts like Apple is a predatory lender. He also doesn't seem to have a clue about finances, 0% interest, or TVM.

I personally think that it is a good deal financially, if you planned on buying the Apple Care+.

 

[Zaqfalcon]

Nothing. It's a 24 month loan. When a new iPhone comes out, you can trade your phone in for a new one and start over, or keep it until its fully paid off and do whatever you want with it.

I see, thanks, so Apple aren't beholden to getting a new phone to you in 12 months then.

 

[bizack]

What happens if a new iPhone isn't released within 12 months?

You keep paying and pay the phone off and keep it or sell it. You can pay the phone completely off anytime after 6 months.
[doublepost=1461643870][/doublepost]

I wonder how Apple will handle the iPhone 7 launch. Will there be an online option for current upgrade customers to send in their iPhone 6s while at the same time purchasing the iPhone 7 on a new upgrade plan?

I would assume so - probably similar to how replacement devices are sent (with the shipping box also being the return box). Or you could drop it off at your local Apple Store if one is near you.

 

[ani4ani]

This program is more about selling AppleCare at an extortionate price (20% of the value of the phone! when supposedly warranty failure rates are around 2%) and the main reason it is not available in Europe since there is a minimum 24 months warranty requirement by EU law. That is the real "interest payment" attached to the scheme.