Introducing Apple’s New iPhone Upgrade Program

Apple’s recent September 9 event was mostly business as usual for the tech giant, introducing two new iPhones (the iPhone 6s and the iPhone 6s Plus), two new iPads (the iPad Pro and the iPad Mini 4), and a bunch of new updates and features. However, there was one thing that Apple revealed that could potentially change how and where people purchase new iPhone devices from now on.

Normally, people can always buy an iPhone directly from Apple at full retail price, but with Apple’s new iPhone Upgrade Program, customers are now able to purchase new iPhone models straight from the company via a two year installment plan. Indeed, the iPhone Upgrade Program allows mobile users to get the iPhone 6s or the iPhone 6s Plus for $0 upfront plus 24 regular monthly payments, with an option to upgrade after 12 months.

If a customer makes sure to complete the first full year’s monthly payments, he can proceed to trading in his existing iPhone for the next new version, no matter what wireless carrier or plan he is signing up for. The customer will then sign a new 24 month Upgrade Program contract that provides another option to trade up after another twelve months. 

Here is a summary of the pricing:

• iPhone 6s (16 gigabyte edition) -- $32.41 a month (full retail price is $649)
• iPhone 6s (64 gigabyte edition) -- $36.58 a month (full retail price is $749)
• iPhone 6s (128 gigabyte edition) -- $40.75 a month (full retail price is $849)
• iPhone 6s Plus (16 gigabyte edition) -- $36.58 a month (full retail price is $749)
• iPhone 6s Plus (64 gigabyte edition) -- $40.75 a month (full retail price is $849)
• iPhone 6s Plus (128 gigabyte edition) -- $44.91 a month (full retail price is $949)

Alas, Apple has not yet fully announced the complete terms and conditions, but it is presumed that if customers complete 24 months of payments on their device without upgrading, the handset will be paid off and let customers keep the iPhone.

There is a trend among wireless carriers in the United States right now wherein they are starting to get rid of the standard two year agreement with a subsidized handset. As for Apple, it could not have chosen a more appropriate time in beginning to transform  itself into its own one stop shop where customers can buy its mobile devices.

For those who buy new iPhones, their handsets will be network unlocked (although they will need to choose from a GSM or CDMA compatible model), which means that their device will not be exclusively tied to any single wireless carrier if they opt for a no contract wireless plan. Obviously, customers will still depend on their wireless carrier for cellular coverage, but they no longer are exclusively purchasing their handsets via a carrier contract.

To explore more Apple deals, you can browse plans and phones from Apple at MyRatePlan now.