Apple has introduced Apple Upgrade, a device leasing program offered in partnership with Klarna, available through the Apple Store online, the Apple Store app, and at Apple Store locations in the United States.

The program covers iPhone, Apple Watch, Mac, and iPad. Lease terms of 12 and 24 months are available for iPhone and Apple Watch, while Mac and iPad can be leased over 24 or 36 months. Monthly payments start at $17.99 for iPhone, $11.99 for Apple Watch, $24.99 for Mac, and $11.99 for iPad.

Customers who trade in an existing device through Apple Trade In can reduce their monthly payments. Those who pay using Apple Card earn 3% Daily Cash back on lease payments. All applicants undergo a soft credit inquiry that does not affect their credit score.

At the end of a lease term, customers can upgrade to a newer device by entering a new lease, purchase the device outright, or return it and exit the program.

With the launch of Apple Upgrade, Apple said it will discontinue the iPhone Upgrade Program and iPhone Payments in the United States. Customers currently enrolled in the iPhone Upgrade Program will have the option to lease through Apple Upgrade, finance through Apple Card Monthly Installments, purchase outright, or use carrier financing when eligible.

Leases are provided by Klarna Inc. and are available only to U.S. residents aged 18 or older, excluding residents of U.S. territories. Applicants must have a valid Social Security Number or individual taxpayer identification number, an Apple Account, and a Klarna account. Certain devices, including iPhone 16, iPhone 16 Plus, Apple Watch SE, Mac mini, and iPad (A16), are not included in the program.

Karen Rasmussen, Apple's vice president of the Apple Store online, said the program offers customers "a more flexible way to pay for the products they love."