Apple has launched a device leasing program called 'Apple Upgrade' in the United States in partnership with Klarna, replacing its existing iPhone Upgrade Program and iPhone Payments.
The program covers iPhone, Apple Watch, Mac, and iPad. Lease terms vary by device: iPhone and Apple Watch are available for 12 or 24 months, while Mac and iPad are offered for 24 or 36 months.
Monthly payments start at $17.99 for iPhone, $11.99 for Apple Watch, $11.99 for iPad, and $24.99 for Mac. For example, the iPhone 17 Pro lease is priced at $31.99 per month for two years or $45.99 per month for one year.
At the end of the lease, customers can return the device, buy it outright, or upgrade to a newer model. The program requires a soft credit check by Klarna that does not affect the applicant's credit score, and no security deposit is needed.
Certain devices are excluded from the program, including iPhone 16, iPhone 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, iPad (A16), and Studio Display, according to some reports. Most sources agree these models are omitted.
Customers can reduce monthly payments by trading in an existing device through Apple Trade In, and those paying with an Apple Card earn 3% Daily Cash back. The program is available through Apple's website, app, and U.S. retail stores. Apple Upgrade does not include AppleCare by default, but customers can add it.
Existing members of the iPhone Upgrade Program can move to the new leasing plan when eligible or use other financing options. According to an analyst note from Morgan Stanley, the firm estimates a $200 price increase for the iPhone 18 Pro to preserve gross margins. Apple is scheduled to report third-quarter earnings on Thursday.