FTC proposes rule banning BetterHelp from sharing consumer data [Video]

The FTC’s actions mark the first time the agency returns money to consumers whose health data have been compromised.

WASHINGTON — The Federal Trade Commission has moved to ban online counseling company BetterHelp from sharing users’ personal data to third parties for advertising.

Under the federal agency’s proposed order, the online counseling service must pay $7.8 million to consumers to settle charges that it revealed users’ personal data with third parties. It also will limit ways in which the service can share consumer information in the future, according to the Thursday announcement.

The $7.8 million fine will be used to issue partial refunds to users who signed up and paid for the company’s counseling services between Aug. 1, 2017, and Dec. 31, 2020. The FTC’s actions mark the first time the agency is returning money to consumers whose health data have been shared.

“When a person struggling with mental health issues reaches out for help, they do so in …

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