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Other Upgrade Program or Purchase Outright

Upgrade Program or Purchase Outright

  • Purchase Outright

    Votes: 70 59.8%

  • Upgrade Program

    Votes: 47 40.2%
  • Total voters
    117
MikeM87

MikeM87

macrumors 6502
Original poster
Jun 24, 2010
265
6
UK
Hi all,

Just wondering how many of you purchase the phone outright or have chosen to take advantage of the upgrade program. I've always purchased the phone outright but I am considering going with the upgrade program.

I'm looking to get the Xs or even the Xs plus on release (Name subject to change)

Reasons For Upgrade Program :
  • Won't have to pay £xxx.xx all in one go
  • Applecare included
  • New phone each year

Reasons Against Upgrade Program :
  • The upgrade program is essentially finance, buy now pay later credit agreement (Could affect mortgage application etc)
  • Tied to Apple (Always purchase iPhones anyway)

What are your thoughts on the upgrade program?
 
I would advise to list your pros and cons and assign a weight/priority to each pro and con. Unfortunately, only you can answer that best. A person is going to vote and provide advice based on their preference and priority. That may not fit into your plans or your preference.
 
Yeah my credit is not a problem and I could buy it out right if I decided too. My only reasoning for the upgrade program is that if your going to upgrade on a yearly basis is it better just to use the upgrade program? I think the added bonus of applecare is great too :)
 
I've always bought my phones outright. But, this time I'm going to use their money no interest. I'm also going to use Verizon's program not Apple's.
 
It's an interest free loan / 0% financing, so why not? Yes, you must add AppleCare but if that is okay, then to me, it's a no brainer. Go with the iUP.

To me, the biggest drawback is not being able to sell the phone for more than you owe. I've been buying and selling smartphones for 10+ years and it's gotten to be a pain in the butt to sell used phones so I say it's not worth the hassle. Others might not mind it and can make a few bucks.
 
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ckurt25 said:
It's an interest free loan / 0% financing, so why not? Yes, you must add AppleCare but if that is okay, then to me, it's a no brainer. Go with the iUP.

To me, the biggest drawback is not being able to sell the phone for more than you owe. I've been buying and selling smartphones for 10+ years and it's gotten to be a pain in the butt to sell used phones so I say it's not worth the hassle. Others might not mind it and can make a few bucks.
Click to expand...

Agreed it's got to be a real pain selling them. And the phone is typically worth half the price after a year which is essentially what the upgrade program costs.
 
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I like the AUP. It’s interest free installment payments. You really have a set price of 50% if trade in at 12 months. That can be good. Also, can still sell for more than owe and just payoff loan keep rest.
 
I buy outright. That way I'm free to decide if I want to skip a generation or not.
I don't like paying for anything monthly if I can help it.
If you were to lose your job do you really want to have to find money every month just to have the latest phone?

I don't need AppleCare on a phone. I've never had it or had a problem in the past.
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Lyn2012 said:
I always buy outright as I don’t like having debts hanging over me. Finance, hire purchase, whatever you call it, it’s still a debt.
Click to expand...
Oh agree. I paid off the mortgage when I was 33. That was my one and only time I borrowed money.
 
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If the upgrade program is available in your region, it would be foolish imo not to take advantage of it, especially with phones going into the $1k price range. Simply upgrade every year, and you will always be ahead. Even if you don't care about the latest iPhone, doing the upgrade program makes more sense in any financial calculation vs splurging outright.

If Apple made the program available in my region, I would take it in a heartbeat. It beats having to go through the pain of spending $1k upfront where I can put those money into other investment opportunities.
 
pika2000 said:
If the upgrade program is available in your region, it would be foolish imo not to take advantage of it, especially with phones going into the $1k price range. Simply upgrade every year, and you will always be ahead. Even if you don't care about the latest iPhone, doing the upgrade program makes more sense in any financial calculation vs splurging outright.

If Apple made the program available in my region, I would take it in a heartbeat. It beats having to go through the pain of spending $1k upfront where I can put those money into other investment opportunities.
Click to expand...
It doesn't you know. Not everyone thinks hire purchase is a good idea.
 
pika2000 said:
If the upgrade program is available in your region, it would be foolish imo not to take advantage of it, especially with phones going into the $1k price range. Simply upgrade every year, and you will always be ahead. Even if you don't care about the latest iPhone, doing the upgrade program makes more sense in any financial calculation vs splurging outright.

If Apple made the program available in my region, I would take it in a heartbeat. It beats having to go through the pain of spending $1k upfront where I can put those money into other investment opportunities.
Click to expand...
Can you explain why you will always be ahead with the upgrade program?
 
Apple fanboy said:
It doesn't you know. Not everyone thinks hire purchase is a good idea.
Click to expand...
Hire purchase is "not" a good idea if you cannot even afford the product to begin with. I mean common sense still applies, if you can barely afford your daily expenses, what makes you think buying a $1k phone to be a good idea?

For everybody else, hire purchase makes total sense, especially when the program like Apple's has zero interest. Go ask any finance major.
 
No brainer the Apple upgrade is the way to go even if you have the funds to purchase outright. I'm tired of having to deal with craigslist selling my phone each year as I always upgrade. It turns out to be about the same but I don't have to worry about getting less based on battery health (at 90 now on my X, dings, scratches, box, accessories etc.) My only concern now is since the iPhone Xs will be available less then a year before the X was can we trade in September or have to wait until the 1 year anniversary which was Oct or Nov if I remember.

FYI just checked my credit Karma for all my open accounts and the Apple upgrade account isn't even listen on there.
 
I am fortunate enough where I actually receive discounts from my employer for smart phones, but I can also understand why most likely finance their phones today with the rising costs, and I think it’s partially Ludacris to pay $1100 for a smart phone when someone could easily just paid for it over for the course of time if they don’t plan on keeping it when they decide to trade in at a later date.
 
I did the Upgrade Program with my iPhone 7 Plus, I just paid it off this month. I had thought about paying early but the, it was zero interest. Here is the rub though, I normally like to upgrade my phone every two years, for cases like mine it isn't worth it to do the Apple Upgrade Program, because though I get to keep my iPhone 7 Plus, gonna trade it in anyway. I may go back to the old way, I financed through AT&T until tax season then paid it off with my tax return. If you buy a phone every year, the Apple Upgrade Program is worth it, if your renewal cycle is 2 or 3 years, you are likely better off buying it outright. I know, not very helpful, I am not even sure what I want to do.
 
Why not do the payment plan? I'd rather pay the cost off over 2 years than all at once. My wife and upgrade on the payment plan so I don't have to shell out $2,000 at a time.
 
richard371 said:
No brainer the Apple upgrade is the way to go even if you have the funds to purchase outright. I'm tired of having to deal with craigslist selling my phone each year as I always upgrade. It turns out to be about the same but I don't have to worry about getting less based on battery health (at 90 now on my X, dings, scratches, box, accessories etc.) My only concern now is since the iPhone Xs will be available less then a year before the X was can we trade in September or have to wait until the 1 year anniversary which was Oct or Nov if I remember.

FYI just checked my credit Karma for all my open accounts and the Apple upgrade account isn't even listen on there.
Click to expand...
Can you explain why the upgrade plan is a no brainer?
 
pika2000 said:
1. I'm not spending $1k upfront
2. I can put those funds into something else that generate extra income
3. Apple charges no interest, so I am already ahead of inflation
Click to expand...
And if someone keeps a phone long enough that the payments don’t make financial sense?
 
Agreed. Give Apple the 1000 now so they can make interest off it or keep it and make payments and some interest of your own. If there were finance charges and interests involved I wouldn't do it but this is not the case.

pika2000 said:
1. I'm not spending $1k upfront
2. I can put those funds into something else that generate extra income
3. Apple charges no interest, so I am already ahead of inflation
Click to expand...
 
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