Apple launches Apple Upgrade: leasing iPhone, Mac, iPad and Watch with Klarna from $11.99 per month

Apple has officially launched Apple Upgrade, a new product leasing program in the United States managed by Klarna. The company presents it as a more flexible way to access iPhone, Apple Watch, Mac and iPad: the customer pays a monthly fee, can reduce it with a trade-in and, at the end of the term, decides whether to renew, keep the equipment or return it. The announcement comes the same day that Apple stops offering the historic iPhone Upgrade Program and iPhone installment payments in the country.

The news is confirmed by Apple Newsroom with statements from Karen Rasmussen, vice president of the Apple Online Store: «We put the customer at the center of everything we do, and we are delighted that “Apple Upgrade gives our customers, both online and in-store, a more flexible way to pay for the products they love.” Media like TechCrunch, MacRumors and 9to5Mac collected the details of the program on the same day, which Bloomberg had already announced last week.

How Apple Upgrade works

The process is similar to purchasing from Apple, but choosing leasing instead of a one-time payment or installments with Apple Card. After selecting the device and term, the customer requests approval – with a soft credit inquiry that does not affect the score – and Klarna responds within minutes. Payments, due dates and outstanding balance are managed in the Klarna app. In a physical store, the device is delivered immediately; online, with delivery or collection at the Apple Store.

Apple maintains services such as Personal Setup and free Today at Apple sessions. AppleCare+ or AppleCare One can be added to the lease. Whoever pays with Apple Card gets 3% Daily Cash in each installment, according to the official statement.

Departure terms and prices

Apple Upgrade offers 12 and 24 month options for iPhone and Apple Watch, and 24 and 36 months for Mac and iPad. Lease prices start from:

9to5Mac publishes specific examples of installments by model and term: a iPhone 17 Pro 256 GB ($1,099) it would cost $31.99/month for 24 months or $45.99 for 12 months; a MacBook Pro 14″ with 16 GB and 1 TB ($1,999), $38.99 for 36 months or $53.99 for 24 months. The figures vary with taxes and the value of the device delivered in trade-in.

What happens with the iPhone Upgrade Program

With the launch of Apple Upgrade, Apple stops offering the iPhone Upgrade Program and iPhone Payments in the United States for new registrations. Customers already enrolled in the previous program, when it is their turn to renew, will be able to switch to Apple Upgrade, finance with Apple Card Monthly Installments, buy in cash or use their operator's financing, according to MacRumors.

The change expands the “subscription” model to hardware beyond the iPhone: for the first time, Mac and iPad enter a direct leasing scheme with Apple. TechCrunch highlights that Klarna takes on the role previously partially covered by Goldman Sachs in Apple Card financing, although card installments remain available for regular purchases.

Excluded models and requirements

Not the entire catalog is included in Apple Upgrade. Apple confirms that the iPhone 16 and iPhone 16 Plus, the Apple Watch SE, the MacBook Neo, the Mac mini, the iPad (A16) and the Studio Display are not available. The lease requires US residency (except territories), legal age of majority, Social Security number or ITIN, Apple and Klarna account in good standing, and credit approval.

For iPhone it is mandatory to choose an eligible carrier (AT&T, T-Mobile or Verizon); prepaid plans are not supported. The leased iPhone arrives unlocked. Engadget warns that canceling early or not renewing can result in high fees, and that at the end of the term the device is not the user's unless they pay the residual purchase fee.

In summary

Apple Upgrade is Apple's new leasing program in the United States, supported by Klarna, with installments starting at $17.99/month on iPhone, $11.99 on Apple Watch and iPad, and $24.99 on Mac. It replaces the iPhone Upgrade Program, unifies the in-store and online experience, and lets the customer choose at the end of the contract between upgrade, buy or return. It is a clear commitment to hardware as a service at a time when the prices of Apple devices continue to rise.