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Much of the general public is somewhat familiar with BetterHelp, the online service that provides counseling and therapy to individuals and couples.

BetterHelp markets itself as a company that makes access to mental health care and support more accessible. Rather than folks having to go into an office at a set time, they can contact their counselor or therapist online, via an app, or even via text message.

The convenience is a clear upside that BetterHelp leans into. However, the company has now landed in somewhat of a pickle. This comes amid new accusations from the Federal Trade Commission (FTC).

Strong claims against BetterHelp from the FTC

It is the FTC's position that BetterHelp shared sensitive information about its customers that it vowed to keep private. The FTC claims the data shared by BetterHelp pertained to customers' mental health situations that said customers provided in confidence.

Amid these allegations, BetterHelp agreed to a $7.8 million settlement that will go back to impacted customers. Yet, in spite of reaching a settlement, the online counseling/therapy service says the funds agreed upon do not represent an acknowledgment of guilt.

Nevertheless, the Bureau of Consumer Protection of the FTC tells a very different story. According to bureau director Samuel Levine, BetterHelp engaged in the "illegal exploitation" of customers' data. Levine furthermore reiterated that the FTC maintains its commitment to shielding consumers from this type of malpractice.

It remains to be seen if these reports have negative impacts on the BetterHelp brand. When customers sign up for counseling or therapy with this service, they receive assurance that their sensitive information will be used for no other purpose than providing mental health services.

According to the FTC, BetterHelp let various social media companies have access to customers' data to aid the latter's advertisement efforts. The FTC likewise maintains that in 2020, BetterHelp lied to customers amid refuting news sources that claimed the company granted third parties access to customers' data.

More from BetterHelp

In a statement, BetterHelp declared it is more than happy to abide by "new precedents" pertaining to consumer marketing. The $7.8 million settlement the company agreed to amid butting heads with the FTC will go towards limited refunds for some of its customers.

Customers who used BetterHelp's services from August 2017 to December 2020 can look forward to these refunds.