Apple's program, unlike AT&T etc., is the iPhone is UNLOCKED, meaning you can use it with ANY carrier. It's a huge bonus for those who travel internationally. On top of that, AppleCare+ is part of the package... at the normal cost of the plan. To say it's included is a bit misleading, as Apple makes it required to buy on top of the phone payment price. It's just broken up into 24 payments.
Where carriers can be better with this is in the credit department. Carriers are usually more forgiving with less than perfect credit, whereas Apple's is through a finance company who probably demands close to a 700 credit score or better.
Sprint does seem to be the most forgiving, overall. I know several people who got plans and financing without a ton of money upfront.
With the Apple Upgrade, do you trade in your old device back to Apple at the time of your next upgrade (vs. selling it on Gazelle, eBay, etc.)?
You turn it in after 12 months if you want to upgrade. Or you can continue to pay for the full 24 months and own outright. No word on what happens if you turn it in after say 15 months.
It's a set payment plan applied to your credit card each month. They haven't released details but if your credit card is full or cancelled, there would likely be fees/penalties and interest. More details will emerge soon.
It's an installment loan so you could probably opt to pay it off anytime then do as you please. We'll see when the contracts are released
Apple's plan is through a specific finance company/credit card, not just any of your own personal credit cards. There is no service contract, obviously, but the financing is for 24 months. Once you pay it off, you own it... or turn it in in 12 months and start over with the remaining balance wiped clean. I found something that was clearly marked "with approved credit..." somewhere on Apple's site.
Not included free but if you are trading it in after 12 months, AppleCare is essentially included free when compared to AT&T Next.
It doesn't have to be ONLY at 12 months. You can upgrade at any point from 12 months on.
AT&T Next isn't based on 24 monthly payments. Apples to oranges. This is more comparable to T-Mobile and Sprint device installment plans.
AT&T 12 Month trade in program is based on 20months of payments. But if you trade in after 12 months, The 8 payments on ATT and the 12 Payments on Apple are irrelevant. That's why I specifically compare only what you pay in twelve months.
True. It is an installment note that you must qualify for, and it is through a specific finance company (Citizens) ... but the footnote (shown below) implies that payment for that installment note will have to be made by auto charge to a credit card (as opposed to sending them payment directly). So there won't be any fees or interest from Citizens as long as they can get their payment from your card. If they can't there will likely be fees from them. Additionally, if you don't pay off your credit card each month, there will be interest charges from your credit card issuer.
Disney does the same type installment note for their annual passes, with the monthly payment being applied to whatever credit card you provide.
If you accidentally break your iPhone, the standard warranty doesn't cover this. So you would have to pay for the iPhone yourself in full.
It is similar to a leased car. If you destroy your car in an accident, the automobile warranty won't cover its repair. You have to pay for it in full.
AppleCare+ covers accidental breakage of the iPhone - at least 3 times. So it is worth it for klutzes and those not wanting to take any risk of facing an $800 replacement fee.
slprescott wrote: »
I'm waiting for Samsung's response to an Apple Car:
"S Car" (pronounced "scar")
Apple should drop the price of the iPhone by (say) 10%. Samsung's high end phones are similarly priced so this should force them to drop their prices; after all why buy a knock-off when you can get the original cheaper.
Samsung are getting hammered at the bottom end by the Chinese and making no profit there, so forcing them to drop prices on their only profitable phones at the top end would cause them grief. At best it might drive the phone division out of business.
Given the cash Apple has in the bank I doubt they'd notice any drop in revenue and they'd probably make up any loss in volume sales.
dasanman69 wrote: »
but you're absolutely right that Samsung only follows what Apple does. Pathetic isn't a strong enough word to describe it.
Device financing isn't new. Relax Apple fanatics. As been stated, Motorola has been doing this for awhile.
It's also not THAT amazing of a deal. Apple phones don't lose 50% of their value in a 12 months. It makes more sense to purchase outright, sell in 12 months and get the next phone. Unless of course Applecare is the big draw. Then it might be a wash after seller fees.
It's also hamstringing you to a phone manufacturer, but that's a net positive. You can up and leave a carrier anytime you want if you don't like what crap they are trying to shovel down your throat. Apple and Google's (and in many respects T-Mobile's) war on ATT & Verizon is full steam ahead right now.