Apple Unveils New Leasing Program, Replacing iPhone Upgrade Program

Apple is introducing a new leasing program called Apple Upgrade, which will begin on July 28, allowing customers to lease a range of products instead of purchasing them outright. This new initiative replaces the previous iPhone Upgrade Program and expands leasing options to include iPhones, Apple Watches, Macs, and iPads.

The program allows customers to choose lease terms of 12 or 24 months for iPhones and Apple Watches, and 24 or 36 months for Macs and iPads. Monthly lease payments will start at $17.99 for iPhones, $11.99 for Apple Watches, $11.99 for iPads, and $24.99 for Macs. Customers will be required to undergo a soft credit check to enroll.

Under the Apple Upgrade program, users do not own the products during the lease term. At the end of the agreement, customers have the option to return the device, upgrade to a newer model, or purchase it outright with a one-time payment. If a device is traded in at the end of the lease, its trade-in value may be used to reduce future monthly payments. The first monthly payment is due 30 days after the device is shipped or picked up, and no security deposit is required.

For example, an iPhone 17 Pro 256GB, priced at $1,099, could have a typical monthly lease payment of $31.99 for a 24-month term or $45.99 for a 12-month term, excluding taxes and credits. Apple notes that additional fees may apply if a customer upgrades early or cancels the lease before the term concludes.

The introduction of the leasing structure has prompted discussion online, with some consumers expressing concerns about potential price increases and the long-term implications of leasing rather than owning devices. Some users voiced apprehension about Apple's inspection process for returned devices, particularly regarding minor wear and tear.