Buying a new iPhone can be daunting when you consider the upfront cost of a new model, but Apple is hoping its new program will make it more affordable.
Trade Up With Installments debuted today, and it’s a way to trade-in your old iPhone, Android, or Windows Phone toward the cost of a shiny new iPhone. Apple will apply the value of your old device to the price of the new iPhone, and let you pay the difference in 24 monthly payments, interest free.
Monthly payments range from $15 to $35 per month depending on what phone your trading in and what model you’re trading up to. To give you and idea of what to expect, if you trade-in an iPhone 4 for the iPhone 6S Plus with 128GB, your monthly cost will be $35, However, if you were to trade-in an iPhone 5 for an iPhone 6 with 16GB, it would come to only $15 per month.
The chart below shows what value you will get for your current iPhone and how much your monthly payment will be for a new iPhone after trade-in. Android and Windows Phones aren’t listed, but typical values range from $100 to $300.
| Your trade-in | Max trade-in value | You choose | Your monthly payment |
|---|---|---|---|
| iPhone 4, 4S | $100 | iPhone 5S (16GB) | $14.58/month |
| iPhone 4, 4S | $100 | iPhone 5S (32GB) | $16.62/month |
| iPhone 4, 4S | $100 | iPhone 6 (16GB) | $18.70/month |
| iPhone 4, 4S | $100 | iPhone 6 (64GB) | $22.87/month |
| iPhone 4, 4S | $100 | iPhone 6 Plus (16GB) | $22.87/month |
| iPhone 4, 4S | $100 | iPhone 6 Plus (64GB) | $27.04/month |
| iPhone 4, 4S | $100 | iPhone 6S (16GB) | $22.87/month |
| iPhone 4, 4S | $100 | iPhone 6S (64GB) | $27.04/month |
| iPhone 4, 4S | $100 | iPhone 6S (128GB) | $31.20/month |
| iPhone 4, 4S | $100 | iPhone 6S Plus (16GB) | $27.04/month |
| iPhone 4, 4S | $100 | iPhone 6S Plus (64GB) | $31.20/month |
| iPhone 4, 4S | $100 | iPhone 6S Plus (128GB) | $35.37/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6 (16GB) | $14.54/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6 (64GB) | $18.70/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6 Plus (16GB) | $18.70/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6 Plus (64GB) | $22.87/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S (16GB) | $18.70/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S (64GB) | $22.87/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S (128GB) | $27.04/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S Plus (16GB) | $22.87/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S Plus (64GB) | $27.04/month |
| iPhone 5, 5C, 5S | $200 | iPhone 6S Plus (128GB) | $31.20/month |
| iPhone 6 | $300 | iPhone 6 Plus (16GB) | $14.54/month |
| iPhone 6 | $300 | iPhone 6 Plus (64GB) | $18.70/month |
| iPhone 6 | $300 | iPhone 6S (16GB) | $14.54/month |
| iPhone 6 | $300 | iPhone 6S (64GB) | $18.70/month |
| iPhone 6 | $300 | iPhone 6S (128GB) | $22.87/month |
| iPhone 6 | $300 | iPhone 6S Plus (16GB) | $18.70/month |
| iPhone 6 | $300 | iPhone 6S Plus (64GB) | $22.87/month |
| iPhone 6 | $300 | iPhone 6S Plus (128GB) | $27.04/month |
| iPhone 6 Plus | $350 | iPhone 6S (16GB) | $12.45/month |
| iPhone 6 Plus | $350 | iPhone 6S (64GB) | $16.62/month |
| iPhone 6 Plus | $350 | iPhone 6S (128GB) | $20.79/month |
| iPhone 6 Plus | $350 | iPhone 6S Plus (16GB) | $16.62/month |
| iPhone 6 Plus | $350 | iPhone 6S Plus (64GB) | $20.79/month |
| iPhone 6 Plus | $350 | iPhone 6S Plus (128GB) | $24.95/month |
This new program shouldn’t be confused with Apple’s current trade-in program or its iPhone Upgrade program. The current trade-in program allows you to trade in an old iPhone (even damaged) for up to $350 toward a new iPhone. In this case, you would pay the difference of the new phone and the old phone up front. The iPhone Upgrade program allows you to buy a new iPhone and pay for it in 24 monthly installments with AppleCare+ included, but you trade in your phone each year to make sure you have the latest model. Monthly payments continue indefinitely.
While Trade Up With Installments doesn’t include AppleCare+ insurance, customers can add it on for an additional upfront payment of $100 to $130.
It seems confusing, but Trade Up With Installments is geared towards those consumers that have older iPhones, and don’t want to upgrade constantly. According to Fiksu, a data tracking service, 42 percent of active iPhone owners are using the iPhone 5S or older. The iPhone 5S is from 2013.
It’s great that iPhones are built to last, but Apple is obviously trying to entice users into getting a newer device. The company’s most recent financial results were spectacular, but it warned that iPhone sales were finally slowing.
Trade Up With Installments is only available at Apple stores in the U.S.
