Apples new Upgrade program lets you lease like a car

Apples new Upgrade program lets you lease an iPhone, iPad, Mac, or Apple Watch for a monthly fee instead of paying full price upfront—much like leasing a car. Rates start as low as $11.99 a month through Klarna, with options to upgrade, buy out, or return the device when the lease ends.

That shift matters because Apple products recently got more expensive, and a predictable monthly payment can feel more manageable than a four-figure sticker shock. The program does not actually cut the cost of the hardware. It changes how you pay for it.

Key Takeaways

• Apple Upgrade expands leasing beyond iPhones to select iPads, Macs, and Apple Watches.
• Monthly prices start at $11.99 for some iPads and Watches, $17.99 for iPhones, and $24.99 for Macs.
• Leases run 12 or 24 months for iPhones and Watches, and 24 or 36 months for iPads and Macs.
• Klarna handles approval with a soft credit check; the old iPhone Upgrade Program is ending.
• At lease end you can upgrade, pay a one-time fee to keep the device, or return it.

What is apples new Upgrade program and why does it matter now?

Apple officially launched Apple Upgrade as a leasing plan for people who do not want to buy a device outright. According to Mashable’s report, it is the first time Apple is expanding leasing options beyond smartphones in this way.

The timing is pointed. Last month, Apple raised prices on many devices amid an industry-wide memory shortage nicknamed “RAMageddon.” This month’s program offers a different kind of relief: lower perceived cost through monthly payments, not a permanent price cut.

For a Nostalgia: Then & Now audience, the change is familiar. For years, many buyers stretched for a full purchase—or stuck to phone-only upgrade plans. Now the lease-like model reaches deeper into Apple’s lineup, echoing how cars have long been financed month to month rather than paid in one lump sum.

How much does leasing cost under apples new Upgrade program?

Starting lease prices, before taxes, are listed as $17.99 per month for iPhones, $11.99 per month for iPads and Apple Watches, and $24.99 per month for Mac devices. Not every product qualifies. Notably, the MacBook Neo—Apple’s most affordable laptop—is not available in the program.

Sample prices from Apple’s new Upgrade program include the iPhone 17 Pro (256GB) at $1,099, or $31.99 a month on a 24-month lease and $45.99 a month on a 12-month lease. The iPhone Air (256GB) lists at $999, or $28.99 monthly for 24 months and $41.99 for 12 months.

On tablets, an 11-inch iPad Pro (256GB, Wi‑Fi) at $1,199 leases for $24.99 a month over 36 months or $31.99 over 24 months. An 11-inch iPad Air (128GB, Wi‑Fi) at $749 comes in at $15.99 monthly for 36 months or $19.99 for 24 months.

Mac examples include a 14-inch MacBook Pro with an M5 chip, 16GB of RAM, and a 1TB SSD at $1,999—$38.99 a month for 36 months or $53.99 for 24 months. A 13-inch MacBook Air with an M5 chip, 16GB of RAM, and a 512GB SSD at $1,299 leases for $24.99 monthly over 36 months or $34.99 over 24 months.

For wearables, an Apple Watch Series 11 (42mm, GPS) at $399 starts at $11.99 a month on a 24-month lease or $21.99 a month on a 12-month lease. Lease lengths are 12 or 24 months for iPhones and Apple Watches, and 24 or 36 months for iPads and Macs.

How does approval work, and what happens when the lease ends?

Apple Upgrade is run by Klarna. Similar to a credit card, you need approval before you can join. Apple says applying takes mere minutes and uses a soft credit check that will not impact your credit score. Once approved, you can track the lease and payments in the Klarna app.

When the lease is up, you have a few paths. You can upgrade your device, keep it by paying a one-time fee, or return it to an Apple store and leave the program. Apple has not said how much that buyout fee will be. Mashable notes it will likely amount to the full price of the device minus what you already paid in leasing—so it is not presented as a bargain ownership shortcut.

There is also a handoff from the past. Apple’s iPhone Upgrade Program is now dead, and Apple Upgrade is its replacement. If you are still on the existing iPhone Upgrade Program, you can choose whether to move to Apple Upgrade when your contract ends.

Is leasing through apples new Upgrade program better than buying outright?

That depends on what “better” means for your budget. The program does not reduce Apple’s sticker prices. It swaps a large upfront bill for a predictable monthly charge—classic price psychology, and useful if cash flow matters more than total lifetime cost.

Leasing can make sense if you like rotating into newer hardware on a set schedule, especially now that Macs, iPads, and Watches sit alongside iPhones in one plan. It may be less appealing if you want to own the device free and clear without a later buyout, or if you need a model that is excluded, such as the MacBook Neo.

Then, gadget ownership often meant saving up or putting the whole price on a card. Now, apples new Upgrade program frames flagship tech more like a car lease: monthly payments, a defined term, and a decision point at the end—upgrade, keep, or walk away. For shoppers watching Apple’s recent price jumps, that framing may be the real story, even if the underlying hardware cost has not gone down.

Shoppers comparing then-and-now buying habits will notice one more detail: this is not a clearance-style discount program. It is a financing wrapper around current retail prices, with Klarna as the gatekeeper and Apple stores as the return point if you walk away. That structure keeps the monthly number low while preserving Apple’s full list pricing underneath.

If you already budget for phone payments, expanding the same habit to a Mac or iPad may feel natural. If you prefer owning gear outright after a few years of use, run the monthly total against the sticker price before you apply. Apples new Upgrade program makes the lease path easier to start—and just as important to exit with a clear plan.