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I recently tried to trade in my iPhone 11 (offer was for $300). There is a VERY minor ding on one corner and they sent it back to me. Also I had neglected to remove it from Find My before sending it back. And although I did this after the fact, when it came back, it still ‘remembered’ my Apple ID (because probably it never got a chance to connect to iCloud and learn that it wan not associated any longer).
Apple only offered about $200 trade-in for my iPad mini 4 (just a couple of months earlier it was more like $260) so I sold it to a friend.
Trade-in is convenient, but it’s not always going to be automatic.
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