iPhone X buy X max or use Apple Upgrade Program?

[pjny]

Hi,

Since 2008 I've bought my iphone outright.

This year I thinking of selling my iphone X to relative for about same price apple offers trade in($525) and getting iphone x max. I think it is about $54 a month. I would love to switch every year and the AUP sounds good for me.

To those who use AUP what are the pros and cons you have experienced personally.

Thanks

 

[OTACORB]

Only real con is each year you close out one loan and start another. Each time they do a hard credit check. If you’re a credit score nerd this will likely not be something you like.

 

[nrvna76]

And AppleCare is required. If you don’t usually purchase this it may be viewed as a negative.

 

[pjny]

i have a credit freeze due to hacked experian data so will this require me to unfreeze all credit bureaus.

i usually purchase and use applecare. I often have the battery replaced towards the end of the 2-year cycle. My iphone 6s+ had a wobbly issue and the cameraa needed to be replaced 17 months after purchase.

 

[Mlrollin91]

Only real con is each year you close out one loan and start another. Each time they do a hard credit check. If you’re a credit score nerd this will likely not be something you like.

Not true. Only a hard credit check for the first year. This is my 4th year on the IUP and have not had a single hard check since the original.

There are many, many threads on here describing my experience as well.

 

[Cayden]

I have to agree with the above poster. This is my third year on the iUP and I only received a hard credit check the first year. It seems like some people get the hard credit check and some don’t, so if that’s something you’re concerned about then the upgrade program likely wouldn’t be for you. Besides that, I absolutely love the program. It costs pretty much the same as upgrading/selling every year without the trouble of dealing with actually selling it. I also don’t have to worry about the condition of my phone throughout the year because I’m not reselling it, so I feel okay using the device without a case. The AppleCare is a plus too, as you only have to pay month to month instead of paying for two years up front. That way, if you buy a phone and use it for a year, you only pay for a year of AppleCare instead of two. If you want to upgrade every year, I think the iUP is the best way to do it

 

[Shadowbech]

Only real con is each year you close out one loan and start another. Each time they do a hard credit check. If you’re a credit score nerd this will likely not be something you like.

Actually that depends on how it's done. The first time I signed up was a hard credit check and I started back in 2016 starting with the 7 Plus. I upgraded to the 8 Plus on iUP and was a soft hit and same goes for this year when I updated to the XS Max on iUP, was still a soft hit, both last year and this year don't show up on my credit report so definitely soft for me.

 

[OTACORB]

Actually that depends on how it's done. The first time I signed up was a hard credit check and I started back in 2016 starting with the 7 Plus. I upgraded to the 8 Plus on iUP and was a soft hit and same goes for this year when I updated to the XS Max on iUP, was still a soft hit, both last year and this year don't show up on my credit report so definitely soft for me.

Great info! I appreciate the clarity in the possible difference and I should have clarified. I hate paying month, so I have generally paid mine off in advance and usually don't do the trade in. So when I started another one they did indeed do a hard check. Live and learn!

 

[pugxiwawa]

i have a credit freeze due to hacked experian data so will this require me to unfreeze all credit bureaus.

No need to unfreeze credit bureaus. The bank will call you directly to verify your information and approve the loan once your identification is confirmed. Pretty straight forward.

 

[burgman]

Only real con is each year you close out one loan and start another. Each time they do a hard credit check. If you’re a credit score nerd this will likely not be something you like.

Not true, I have upgraded three times on IUP first time hard pull other two inquiry’s only no hard pull. Run the numbers I have, every time what I owed was close to retail sale price and higher than trade in value. Plus I hate selling stuff plus fees on EBay and Swappa. If you don’t trade in after a year and keep it then full price with no interest loan.

 

[OTACORB]

Not true, I have upgraded three times on IUP first time hard pull other two inquiry’s only no hard pull. Run the numbers I have, every time what I owed was close to retail sale price and higher than trade in value. Plus I hate selling stuff plus fees on EBay and Swappa. If you don’t trade in after a year and keep it then full price with no interest loan.

If you read my reply about you'd know I clarified that I was talking about if you paid the loan off in advance and didn't actually trade it in. If you don't go through the complete process as you describe, YES they will run a hard credit check if you start another account. I personally hate monthly notes, I am debt free and having notes is just not something I like to do. Not really even sure why I do the program other than just keeping my credit in good standing.