What is the BetterHelp Controversy? | Data Privacy Facts

Updated October 1st, 2025 by BetterHelp Editorial Team

The BetterHelp controversy refers to a 2023 FTC settlement regarding the company's advertising practices between 2017 and 2020. This settlement addressed concerns about how BetterHelp used certain user information to optimize advertising campaigns on third-party platforms.

Understanding what happened, what the settlement means, and how BetterHelp has responded can help provide accurate information for those considering online therapy services.

Understanding the 2023 FTC Settlement

The settlement with the FTC addressed BetterHelp's advertising practices between 2017 and 2020. The FTC alleged that BetterHelp used limited, encrypted information to optimize advertising effectiveness and deliver more relevant ads to potential users interested in mental health services.

This practice was an industry-standard approach routinely used by major health providers, health systems, and healthcare brands. The settlement, which included no admission of wrongdoing, allowed BetterHelp to continue focusing on its mission to help millions access quality therapy worldwide.

What Information Was Actually Involved

It's important to clarify what information was and wasn't shared during this period. BetterHelp does not share and has never shared private information such as:

  • Members' names
  • Clinical data from therapy sessions
  • Therapy transcripts or conversations
  • Journal entries or worksheets
  • Any communications between users and therapists

The controversy specifically involved encrypted advertising optimization data, not the private therapeutic information that users share with their therapists. BetterHelp emphasizes that no messages, session data, or personal communications between users and therapists were ever shared with third parties.

Questions About the BetterHelp Settlement

Some questions that have circulated regarding this settlement:

Therapist Licensing Concerns

Some people believe BetterHelp employs unlicensed therapists. This is incorrect. BetterHelp requires all therapists to be licensed, trained, and experienced mental health professionals with valid credentials in their state or jurisdiction. All therapists must have at least 1,000 hours of hands-on experience and undergo background checks.

Data Selling Claims

Another misconception is that BetterHelp sells user data to third parties. BetterHelp has never received payment from any third party for user information, as this isn't part of the business model.

Therapy Content Sharing

Some believe that actual therapy sessions or communications were shared. BetterHelp clarifies that no therapeutic content, conversations, or clinical data has ever been shared with advertisers or other third parties.

BetterHelp's Response and Improvements

Following the FTC settlement, BetterHelp has taken several steps to enhance user privacy and trust:

HITRUST Certification

BetterHelp.com recently received HITRUST certification, recognized as the industry gold standard for information protection and compliance assurance. This certification demonstrates comprehensive security controls and consistent oversight.

Updated Privacy Practices

BetterHelp has made ongoing investments in privacy safeguards and works in cooperation with the FTC to maintain industry-leading privacy protection standards.

Transparency Commitment

We have published detailed explanations of the settlement and current practices, demonstrating BetterHelp's commitment to transparency with users and potential users.

BetterHelp's Current Privacy and Security Measures

Today, BetterHelp maintains strict privacy protections:

  • No sharing of private therapeutic information with third parties
  • HITRUST certification for comprehensive information protection
  • Clear opt-out options for advertising tracking
  • Detailed privacy policies outlining data practices
  • Continuous investment in privacy and security infrastructure

Users can opt out of advertising cookies at any time, and BetterHelp provides clear instructions for managing these preferences.

Why Context Matters in Online Mental Health Care

The BetterHelp controversy highlights important conversations about privacy in digital mental health services. As online therapy becomes more prevalent, understanding how platforms handle user information becomes increasingly important.

BetterHelp has served over 5 million users worldwide and maintains a network of more than 30,000 licensed therapists. The company's response to regulatory feedback demonstrates how digital health platforms can evolve to better protect user privacy while continuing to provide accessible mental health support.

Making Informed Decisions About Online Therapy

When considering online therapy services, it's important to:

  • Review current privacy policies and practices
  • Understand what information is and isn't shared
  • Look for industry-standard security certifications
  • Consider the platform's response to regulatory feedback
  • Focus on current practices rather than past controversies

BetterHelp's response to the settlement and subsequent improvements in privacy practices reflect the platform's commitment to user trust and regulatory compliance.

Takeaway

The settlement addressed BetterHelp's advertising practices from 2017-2020, not the sharing of private therapeutic information. BetterHelp has implemented enhanced privacy measures, HITRUST certification, and continued transparency about their practices. Understanding the facts behind the settlement can help individuals make informed decisions about online mental health support while recognizing that private therapeutic information remains protected on the platform.

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