BetterHelp Controversy Explained: From Data Privacy Concerns to Lackluster Service

After a thorough investigation, the Federal Trade Commission demanded BetterHelp to pay $7.8 million to its users.

Alex West - Author
By

Published Sept. 10 2024, 2:00 a.m. ET

The BetterHelp logo against a white background
Source: BetterHelp

Advertisements for a service called BetterHelp plague the internet, drawing the attention of teens and young adults who are concerned about their mental health. The company promises to "match you to one of 34,000 licensed therapists based upon your location, preferences, and therapist availability." The service acts as a mental health professional marketplace and advertises easy access to care. They also brand themselves as an affordable alternative to the traditional process.

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However, many people have decided to steer clear of BetterHelp given its lengthy past embroiled with controversies. Now, there is a movement online to help prevent people from signing up and flag concerns for new potential users. At this point, even social media influencers who work with the company end up in hot water. So, how bad can it really be? Let's take a look at the company's controversy.

The BetterHelp logo against a green background
Source: BetterHelp
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What is the BetterHelp controversy all about?

One of the biggest issues that people have with BetterHelp is its dicey past with information and data sharing. In an era where the masses are starting to get concerned about how their online data is being used by companies, BetterHelp got in a bit of trouble. In 2018, the company was accused of sharing user data with third parties, such as Facebook and Snapchat. The issue, too, is it allegedly didn't get consent.

After a thorough investigation of 123 comments on the matter, the Federal Trade Commission (FTC) banned BetterHelp from sharing sensitive health data with advertisers. The FTC found validity in the claims, citing that the company pushed users to turn over their sensitive information despite claiming to be a confidential health resource. The commission also hashed out a $7.8 million settlement, which the company was required to pay out to its users.

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In addition to concerns over data and privacy, BetterHelp faced accusations of poor and deceptive service. For example, users on Reddit reported concerns over the payment methods of the company. While they offered an installment payment plan, the company charged a large fee upfront, which raised red flags.

Heath Hussar promotes BetterHelp on his YouTube channel
Source: YOUTUBE/Heath Hussar
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A YouTuber named Memology101 released a series of videos diving into the general sentiment around the company, including accusations of poor service. Some people reported that their providers became unresponsive or were overall unhelpful. When the users tried to flag their concerns with BetterHelp, they were reportedly told to go somewhere else for care. However, others reported the process of canceling their account as difficult.

Is BetterHelp a scam?

BetterHelp has plenty of negative reviews, despite being praised in advertisements by social media influencers like Shane Dawson and Philip DeFranco. However, is it really a scam? In most cases, BetterHelp is providing its advertised service, though, it might not be to the quality some users want. According to the Better Business Bureau, the company is legit and has a 4.03/5 star rating.

The resource does cite concern over their FTC battle. Nonetheless, it is an accredited business with an A- rating. The company has over 431 complaints in the past three years, though, meaning there are definitely some unhappy customers out there.

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