Customers might get their hands on the upcoming iPhone 7 a lot easier. Last fall, Apple (NASDAQ: AAPL) launched its Upgrade Program, a yearly trade-in plan for users to get the latest devices. The company implemented this option instead of relying on subsidies and network contracts to sell new products.
The program enables a person to trade an old iPhone for a new version by paying monthly fees for a year. Apple first offered the Update Program following the launches of the iPhone 6S and 6S plus. Users could walk out of the stores with new handsets right after agreeing to the payments.
The iPhone 6S and 6S Plus remain as the only devices eligible for the program. The monthly fees for 16GB versions of each phone are $32.41 and $36.58 respectively. Users can also buy the 64GB handsets for $36.58 and $40.75, while the 128GB iPhones cost $40.75 and $44.91.
When the iPhone 7 arrives, Apple will add it to the Update Program, according to iDigital Times.
How does the Apple Upgrade Program work?
First, the client must sign up to purchase an iPhone 6S or 6S Plus. The next step is agreeing to pay the 24 monthly fees for the handset. After the first year, the user can upgrade to the latest device for free by continuing to make the payments.
It’s important to note that customers can only upgrade to a newer handset after the first 12 months of pay. Also, when a person gets a new iPhone, the payment cycle restarts, meaning the fees for the previous phone will close. This process will repeat every time the user changes a device.
The Apple Update Program also lets customers own their phones eventually
Users can decide to keep their current phones instead of trading them. In fact, after the end of the 24-month cycle, the device will belong to the client, according to the Apple Upgrade Program Terms & Conditions.
The program also includes AppleCare coverage for $129. AppleCare extends the phone’s warranty for two years and allows the customer to replace a broken mobile with a new one for $99.
However, the terms of the plan require the device to be in ‘good physical and operating conditions.’ The iPhone must be able to power on, hold the charge, have a functional display, and have no breaks or cracks. The customer needs to disable the phone’s activation lock before upgrading it at a store.
Apple’s plan is only available for the U.S at the moment
The Apple Upgrade Program is offering up to $250 of credit for older iPhone trade-ins. The client can use this credit to lower the cost of a new handset, or ease the monthly payments of the plan.