Comment Just no. (Score 1) 91
Under Apple's old "iPhone Upgrade Program," it made more sense to use the program than to buy a phone outright, especially if you were likely to upgrade annually. There was no interest, you basically got a discount on AppleCare, and you could still get 3% back on the payments through an Apple Card. And there wasn't any Lojack on the phone. After a year, you could buy a new phone and they'd take the old one back as payoff value on the loan. Sure, you could do better with buying outright and selling the used phone, but the Upgrade Program was easy and had some value.
Now that's dead and we have this Klarna deal, which is straight-up shifty used-car-lot. No AppleCare bundled. Repo software on the phone. It's predatory on people who can't afford to straight-up buy an iPhone and don't have good enough credit to cover the cost with a credit card. If you can afford to buy the phone outright, it makes no sense—you're not getting anything out of it, unless you pay off your Apple Card in full every month. If you carry a balance, it's not really going to be interest-free, because it's gonna raise your average daily balance and that affects the interest charged.
I'm fortunate to be in a position where I could buy outright if I wanted to. But: with the old program, I upgraded more often than I really needed to, because it was easy and low risk to trade in. With this program, I'll probably skip a generation or two before upgrading, because there's more friction and more downside.
If this is how Ternus intends to go on, it doesn't bode well.