iPhone Upgrade Program

[Anonymous]

Hi,

I'm thinking of getting a new iPhone and am tempted by the upgrade program. It is my understanding that this is a 24-months installment loan and if you upgrade after 12 months, a new 24-months period starts. Here are a couple questions:

1) Is it possible to pay off the loan early (i.e. before 24 and even 12 months)? Basically, can I treat it as just a normal loan or is there a penalty for early payment?

2) Do I HAVE to upgrade or could I just stick with the iPhone I got if I decide I don't like the new one then? Again, basically, can I treat this as just any other loan?

Why not use the Apple Barcley Financing? Because I already have the card, used it, and didn't get a new promotion, yet.

Thanks

[Anonymous]

1. No penalty, but also no interest so no need to

2. Not forced to upgrade, if you don't upgrade after 2yrs it's your phone

It is a loan. It does hit you with a HP when you apply. It does NOT show up as a tradeline on your report.

Whether the upgrade is also a HP is unclear. I did the upgrade. I definitely signed documents authoring a HP and was expecting a HP. But never actually got a HP in the upgrade. But since the forms do clearly authorize one your mileage may vary with that.