Apple Launches New Apple Upgrade Leasing Program
Apple has introduced the Apple Upgrade leasing program, giving customers in the United States a new way to access its premium devices through flexible monthly payments. Powered by fintech company Klarna, the new program replaces both the long-running iPhone Upgrade Program and Citizens One financing.
The initiative expands beyond smartphones, allowing customers to lease nearly the entire Apple hardware lineup, including iPhones, Macs, iPads, and Apple Watches.
How the Apple Upgrade Leasing Program Works
The Apple Upgrade leasing program functions similarly to a vehicle lease, making expensive Apple devices more affordable through predictable monthly payments.
Customers can apply either online or in Apple Stores through a fast approval process handled by Klarna. The application uses a soft credit check, meaning it does not impact an applicant’s credit score.
The goal is to provide consumers with easier access to premium Apple products without requiring large upfront payments.
Three Flexible Options at the End of the Lease
Once the lease period ends, customers can choose from three options based on their needs.
Upgrade to a New Device
Customers can return their current Apple device and immediately begin leasing the latest available model.
Purchase the Device
Those who wish to keep their hardware permanently can pay the remaining buyout amount and become the full owner.
Return the Device
Users who no longer need the device can simply return it to Apple and end the lease agreement.
If no decision is made after the lease expires, the agreement automatically switches to a month-to-month lease for up to six months before a final purchase charge is applied.
What’s Included in the Program
Apple has expanded flexible financing across most of its major products.
Eligible devices include:
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- iPhone
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- Mac
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- iPad
- Apple Watch
Customers can also use eligible trade-in devices to reduce their monthly lease payments.
Those paying with an Apple Card continue to receive 3% Daily Cash rewards on qualifying lease payments.
Devices Not Included
Several Apple products are excluded from the new leasing program.
These include:
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- iPhone 16
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- iPhone 16 Plus
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- Apple Watch SE
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- iPad (A16)
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- MacBook Neo
- Studio Display
In addition, AppleCare+ is no longer included with the lease and must be purchased separately if customers want device protection.
Why Apple Partnered With Klarna
Apple’s partnership with Klarna allows the company to offer more flexible financing without assuming the financial risk itself.
Instead of managing loans directly, Klarna handles customer verification and lease financing, helping Apple focus on hardware sales while giving buyers more affordable payment options.
The subscription-style model also makes it easier for users to upgrade regularly as flagship device prices continue to rise.
Apple Targets Growing Demand for Flexible Payments
With technology becoming increasingly expensive, Apple is adapting to changing consumer preferences by offering leasing instead of traditional financing.
The Apple Upgrade leasing program provides customers with greater flexibility, predictable monthly costs, and easier access to Apple’s newest products, positioning the company to compete more aggressively in the growing subscription-based hardware market.
