Trying to back up iCloud from a lost iPhone 5 to a new one but Choose backup option says "No iCloud backups are compatible with the version of iOS (7.1) on this iPhone" previous phone was at version 8.1.3

I recently lost my iPhone 5 and purchased a refurbished one on line, I'm trying to backup by iCloud to the new phone but when I get to the "Choose backup" screen I'm told "No iCloud backups are compatible with the version (7.1) on this iPhone". My previous iPhone had up to version 8.1.3. Now I'm stuck in the backup screen and can't get back to settings.  How can I finish the backup and how do I get out of backup mode to possibly update to the version I need?

Hi AppleRobertion,
What you are going to need to do here is update your iPhone's version of the operating system to a version at least as new as the one on your backup - iOS 8.1.3. To do this, follow the directions in this article -
If your iPhone, iPad, or iPod touch doesn't respond or doesn't turn on - Apple Support
Specifically -
Make sure that you have iTunes 12 or later on your computer.
Put your device in recovery mode.
When you get the option to restore or update, select Update. This will reinstall iOS without erasing your data.
Once the update is complete you should be able to restore from your backup.
Thanks for using Apple Support Communities.
Sincerely,
Brett L 

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