Legal

iPhone Upgrade Program Terms & Conditions

United States

Apple offers the iPhone Upgrade Program described below under the following terms and conditions (“Terms & Conditions”).  When you enroll in an iPhone Upgrade Program, you are agreeing to these Terms & Conditions.

  1. iPhone Upgrade Program.  The iPhone Upgrade Program is available to qualified customers and consists of the purchase and activation of an eligible iPhone, AppleCare+ for iPhone, and includes an option to upgrade to a new eligible iPhone pursuant to the conditions set forth in Section 2 below.

    1. Installment Loan. You will be required to apply for and enter into a 24-month 0% APR installment loan (“Installment Loan”) for the full retail price of the eligible iPhone (“Financed iPhone”), AppleCare+ for iPhone (“AppleCare+”), and if purchased at an Apple Retail Store, applicable taxes and fees.  If purchased on apple.com or the Apple Store App (collectively, “apple.com”), applicable taxes and fees will be charged separately by Apple and will not be included in the Installment Loan. You will enter into the Installment Loan with Apple’s bank partner, Citizens Bank, N.A., doing business as Citizens One (“Bank”). Additional terms and conditions required by the Bank apply.
      • Credit Card.  To enroll in the iPhone Upgrade Program you will need a valid and eligible U.S.-issued personal, small business, or corporate/commercial credit card as designated for inclusion in the iPhone Upgrade Program. Debit and prepaid cards are not accepted. Your use of your credit card is subject to the terms and conditions in your cardmember agreement.
      • First Installment Payment.  Your first installment payment under your Installment Loan will be authorized on your credit card at the time of purchase, pick-up, or shipment and will be processed within three days.
      • Taxes and Fees.  All applicable taxes and fees due on the purchase of the Financed iPhone and AppleCare+ are included in your first installment payment for purchases made at an Apple Retail Store. For purchases made on apple.com, your credit card will be charged with two separate transactions: (1) applicable taxes and fees on the full retail price of the Financed iPhone and AppleCare+ will be paid to Apple; and (2) the first payment of your Installment Loan will be paid to Bank.
      • Subsequent Installment Payments.  After the first installment payment, your credit card will be automatically charged on a monthly basis by the Bank under the terms of the Installment Loan.
      • Credit Card Interest and other fees.  You will be charged 0% APR on the Installment Loan.  However, the issuer of your credit card may charge you interest or other fees under the terms and conditions in your cardmember agreement. This may include any applicable interest on unpaid balances or late payments.  Your card issuer may not provide certain benefits in connection with loan payments charged to your card. 
    2. AppleCare+. The iPhone Upgrade Program includes the purchase of AppleCare+ and is subject to the AppleCare+ Terms and Conditions.  The cost of AppleCare+ is included in the Installment Loan.

    3. Upgrade Option. The option to upgrade (“Upgrade Option”) gives you the option to upgrade to a new eligible iPhone as explained in Section 2 below.  

    4. Wireless Service Activation. The Financed iPhone requires activation on a new or existing wireless service plan with an eligible carrier under the carrier’s terms, and may be subject to an additional fee charged by your carrier.

  2. Upgrade Option

    1. Conditions for Upgrade Option. You may exercise your Upgrade Option to purchase a new eligible iPhone, subject to availability, under all of the following conditions:
      • Payments. You have paid the equivalent of at least twelve (12) installment payments under your Installment Loan plus any taxes and fees paid at the time of enrollment;
      • Installment Loan. Your account with Bank is in good standing under the terms of your Installment Loan at the time of purchase at an Apple Retail Store or at time of purchase and shipment from apple.com; and
      • AppleCare+. You have continuously maintained AppleCare+ with your Financed iPhone.
    2. Exercising your Upgrade Option. To exercise your Upgrade Option you must:
      • Trade in your Financed iPhone in good physical and operational condition, as directed by Apple; and
      • Enroll in a new iPhone Upgrade Program which includes applying for and entering into a new 24-month 0% APR installment loan (“New Installment Loan”) with Bank.  
    3. Timing. You must exercise your Upgrade Option prior to the expiration date of your Installment Loan.

    4. Early Upgrade Option. At any time six (6) months after the date of enrollment, you can become upgrade eligible by making advance payments so that you have paid the equivalent of at least twelve (12) installment payments under your Installment Loan plus any taxes and fees paid at the time of enrollment.

    5. Termination of Original Installment Loan After Exercising Upgrade Option. Upon successfully exercising your Upgrade Option, entering into a New Installment Loan, and completing your First Installment Payment on your New Installment Loan with Bank as outlined above, Apple will pay any remaining balance due under your original Installment Loan on your behalf to the Bank, and Bank will consider your original Installment Loan to be paid in full.  Subsequent monthly payments will be made under the terms of your New Installment Loan, subject to the conditions of “Return of New, Upgraded iPhone After Exercising Upgrade Option,” as set forth below.

    6. Prompt Return of Financed iPhone. If you exercise your Upgrade Option and do not return your original Financed iPhone as directed by Apple within 14 days, your original Installment Loan will be reinstated and you will be responsible for any missed and/or remaining installment payments, as well as any installment payments under your New Installment Loan.

    7. Condition of Financed iPhone when Exercising your Upgrade Option.  As noted above, your Financed iPhone must be in good physical and operational condition when exercising your Upgrade Option as determined solely by Apple or Apple’s trade-in service provider (“Trade-In Service Provider”).  For a Financed iPhone to be considered in good physical and operational condition, the Financed iPhone must:
      • Power on and hold a charge;
      • Have an intact and functioning display;
      • Have no breaks or cracks; and
      • Have Activation Lock disabled (you may be asked to disable at the time of upgrade).
      If exercising your Upgrade Option via apple.com, you must also remove the SIM card prior to returning the original Financed iPhone.

    8. Repairs under AppleCare+. If your Financed iPhone is not in good physical and operational condition, you will need to exercise your service rights set forth in the AppleCare+ Terms and Conditions, including paying any applicable service fee(s) required under the AppleCare+ plan.  In the event you have already exhausted your service rights set forth in the AppleCare+ Terms and Conditions, or the necessary repair is not covered by AppleCare+, you must have your Financed iPhone repaired at an Apple Store or through an Apple Authorized Service Provider at the prevailing service rates, or, depending on the extent of repairs needed, pay the prevailing out of warranty replacement cost of the Financed iPhone.  If you are upgrading via apple.com and repairs are not available under AppleCare+ as outlined above, we will return your original iPhone to you, the Installment Loan associated with the original Financed iPhone will be reinstated, and you will be responsible for any missed and/or remaining installment payments as well as any installment payments under your New Installment Loan.

    9. Lost or Stolen iPhone.  If your iPhone is lost or stolen, you will not be eligible for the Upgrade Option.  In the event your iPhone is lost or stolen, contact AppleCare at: (800) 275-2273.

    10. Eligible iPhone Availability. Purchase of a new eligible iPhone is subject to availability at the time you exercise your Upgrade Option. Depending on the eligible iPhone model chosen, your monthly installment payment may change.

  1. Trade in of Financed iPhone. Apple may use a Trade-In Service Provider to facilitate the trade in of your Financed iPhone. Upon exercising your Upgrade Option, title and ownership of the Financed iPhone transfers to Apple or the Trade-In Service Provider, and you disclaim any further right, title or interest in and to the Financed iPhone, and assign to Apple the right to collect from the Trade-In Service Provider, where applicable, the value of the Financed iPhone, in exchange for Apple paying the balance of your original Installment Loan on your behalf to the Bank. Apple or the Trade-In Service Provider may amend or supplement the terms and conditions that govern the trade in of your Financed iPhone.

  2. Data on the Financed iPhone. You are solely responsible for removing all data, including confidential and personal data, from the Financed iPhone prior to the trade-in. It is your sole responsibility to back-up any files or data from your Financed iPhone that you wish to retain prior to trading-in your Financed iPhone. Data recovery is not a part of the iPhone Upgrade Program and neither Apple nor the Trade-In Service Provider accept any responsibility or liability for any lost files or data.

  3. Return of New, Upgraded iPhone After Exercising Upgrade Option. Should you exercise the Upgrade Option and subsequently return your new, upgraded iPhone under the terms of Apple’s Returns and Refunds Policy, the Financed iPhone that you traded in will not be returned to you and the New Installment Loan associated with your new, upgraded iPhone will be terminated.  You will, however, owe the difference, if any, between the prevailing Reuse and Recycling Program value at the time of exercising the Upgrade Option on your original Financed iPhone that you traded in, as determined solely by Apple or its Trade-In Service Provider, and the remaining balance of your original Installment Loan.  If there is a surplus between the prevailing trade-in value of your original Financed iPhone that you traded in and the remaining balance of your original Installment Loan, you will be issued an Apple Gift Card for the amount of the surplus.

  4. Termination of your Installment Loan and Cancellation of AppleCare+. You understand that you have purchased AppleCare+ with funds borrowed from the Bank under an Installment Loan.  If the Installment Loan is terminated, you must cancel AppleCare+ by contacting AppleCare at: (800) 275-2273. If you do not cancel AppleCare+ on your own, you agree that the Bank is permitted to cancel AppleCare+ on your behalf.  In any such event, any refund due on your AppleCare+ will be remitted to the Bank as a payment toward any amount owed by you to the Bank.  If the AppleCare+ refunded amount is greater than the amount owed on the Installment Loan, Bank will issue you a refund in the amount of the difference to the credit card you used to enroll in the iPhone Upgrade Program.

  5. Return of AppleCare+.  If you return AppleCare+ associated with your iPhone Upgrade Program, any refund due on your AppleCare+ will be remitted to the Bank as a payment toward any amount owed by you to the Bank. If the AppleCare+ refunded amount is greater than the amount owed on the Installment Loan, Bank will issue you a refund in the amount of the difference to the credit card you used to enroll in the iPhone Upgrade Program.  

  6. Extended Fraud Alert.  If you have placed an extended fraud alert on your credit, your identity must be verified by Bank before you can enroll in the iPhone Upgrade Program. 

  7. General

    1. Credit check required. The iPhone Upgrade Program is available to qualified end-user customers only.

    2. Must be at least 18 years old (or the legal age of majority in your jurisdiction of residence) to enroll in the iPhone Upgrade Program.

    3. An eligible iPhone includes iPhones that are designated for inclusion in the iPhone Upgrade Program by Apple.

    4. An eligible carrier includes wireless carriers that are designated for inclusion in the iPhone Upgrade Program by Apple.

    5. The iPhone Upgrade Program requires a valid and eligible U.S.-issued credit card as designated for inclusion in the iPhone Upgrade Program. Debit and prepaid cards are not accepted.

    6. The iPhone Upgrade Program cannot be combined with any other promotions, discounts, or offers (“Offers”), unless specifically provided for in the Offers terms and conditions.

    7. Enrollment limits may apply.

    8. By enrolling in the iPhone Upgrade Program, you understand and agree that Apple, its subsidiaries and agents, the Bank, and Trade-In Service Provider may collect, process, transmit, maintain, share, and use certain of your personal information, such as your name, mailing address, email address, and information related to your loan and loan status, in order to perform the service and support obligations under your iPhone Upgrade Program. You may receive periodic iPhone Upgrade Program-related texts, emails, or other communications from Apple, such as notices regarding expiration of your account, upgrade eligibility, and changes to the iPhone Upgrade Program Terms & Conditions. You may also receive requests to participate in surveys related to the iPhone Upgrade Program. At all times Apple will treat your information in accordance with the Apple Privacy Policy, available at www.apple.com/privacy.  Any information collected by the Bank and Trade-In Service Provider will be subject to their respective privacy policies.

    9. If any provision (or part of any provision) of these Terms & Conditions is found to be illegal, invalid or unenforceable under any applicable law, such term shall, insofar as it is severable from the remaining terms, be deemed omitted from these Terms & Conditions and shall in no way affect the legality, validity or enforceability of the remaining terms.

    10. You should keep copies of these Terms & Conditions and any sales receipt or other materials relevant to your purchase of the Financed iPhone and Installment Loan for your records. Apple reserves the right to substitute, change, cancel or add to any part of these Terms & Conditions at any time, including terminating the iPhone Upgrade Program or modifying the AppleCare+ for iPhone Terms & Conditions. Visit www.apple.com/legal/iphoneupgrade_us/ and http://www.apple.com/legal/sales-support/applecare/applecareplus/ for the most current Terms & Conditions. In the event the iPhone Upgrade Program is terminated, you will still be responsible for any outstanding balances due under the terms of your Installment Loan with the Bank.

    11. Contingent upon product availability.

    12. iPhone Upgrade Program may not be available in all locations.

    13. iPhone Upgrade Program eligibility and approval is not transferrable.

    14. For questions about your Installment Loan or your application, please contact Citizens One at 1-888-201-6306.

iPhone Upgrade Program US