Apple Upgrade: rent an iPhone from $17.99/month

What is Apple Upgrade and how does it work?

Apple has officially launched Apple Upgrade, a subscription program that lets customers rent iPhones, iPads, Macs, and Apple Watches instead of buying them outright. The service was made possible through a partnership with the payment platform Klarna, and approval takes just a few minutes without affecting the customer's credit score.

How much does it cost to rent an Apple device?

Monthly rental prices start at:

• iPhone: from US$17.99/month
• Apple Watch: from US$11.99/month
• iPad: from US$11.99/month

Contract lengths vary by category. iPhones and Apple Watches come with 12- or 24-month terms, while Macs and iPads require 24- to 26-month commitments.

What happens when the contract ends?

At the end of the rental period, subscribers have three options: return the device and leave the program, pay a one-time fee to keep it permanently, or renew the contract and upgrade to the latest model.

How can subscribers lower their monthly bill?

Apple offers two ways to cut costs. First, customers can trade in their old devices through Apple Trade In to reduce the monthly payment. Second, payments made with the Apple Card credit card earn 3% cashback on rental plan charges. Pickup is available at a physical Apple Store or via home delivery, just like a regular purchase.