Apple Card’s interest-free iPhone installment project goes live, presently with 6% back on Apple holiday purchases
Apple is now starting a new feature for Apple Card, which enables cardholders to buy a new iPhone then pay it back over 24 months with no interest.
The company stated its plans for the program while its October earnings call, but now the program is opening up to every Apple Card customers.
Apple Card Offers Better Deals For The Holiday
Besides, Apple is mulling the deal for purchases done in December.
Instead of the common 3% back on Apple purchases, the company is giving 6% back on all Apple shopping done from December 10 through December 31, 2019.
This covers purchases made at Apple Stores, on Apple.com or within the Apple Store app.
Apple previously offered consumers a way to repay for their iPhone purchases interest-free through its current iPhone Upgrade Program.
That program needed a 24-month installment loan from Citizens One, but could yet charge other fees — like the ones on late payments, for instance.
The latest iPhone installment program is the first-party offering with all the benefits that involves, including the 3% or 6% back — depending on when the purchase is made — as well as the capability to manage payments straight within the Apple Wallet app on the iPhone.
Apple states the monthly installment repayments will be automatically added to the cardholder’s minimum payment, so consumers have one payment to do per month.
The percentage back is joined to users’ Apple Cash, and this can then be placed toward the payment or used through Apple Pay.
The iPhone installment program sets the groundwork for what could develop to become a more significant subscription offering in the future.
At a later date, Apple could decide to layer in its additional subscriptions along with the iPhone purchase to produce a bundle of some sort.
By doing so, customers can buy the iPhone and the services they required to go along with it — like iCloud, Apple Music, Apple TV+, Apple News+ or Apple Arcade.
Plans Moving Forward For The Apple Card
Already, the iPhone installment plan will enable customers to bundle in AppleCare across the 24 months.
Apple is further testing with other subscription bundles on a smaller scale, as it lately announced a bundle for students that provides both Apple Music and Apple TV+ for the cost of a music subscription alone ($5/mo).
More extra details about how the program operates are available here
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Image Courtesy: Apple Card