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FTC Refunds Over $3 Million to Victims Who Paid for HomeAdvisor Memberships & Setup Claims Process

Updated: Dec 3, 2023



The Federal Trade Commission charged the company, Home Advisor, for misleadingly advertising leads for home improvement projects



The Federal Trade Commission (FTC) will be giving businesses over $3 million in reimbursements for their memberships with HomeAdvisor, Inc., which is affiliated with Angi (formerly known as Angie’s List). Additionally, claim forms will be sent to eligible businesses that are entitled to further refunds.


The reason for these reimbursements is due to the FTC's claims that HomeAdvisor engaged in deceptive marketing practices when selling home improvement project leads to service providers, particularly small businesses in the gig economy. In March 2022, the FTC filed a complaint alleging that HomeAdvisor made false, misleading, or unsubstantiated claims regarding the quality and origin of the leads sold to home service providers searching for potential customers. It was also alleged that HomeAdvisor falsely promised businesses a free month of mHelpDesk, an optional scheduling and payment processing service, while charging an extra $59.99 for the first month.


A total of 110,372 checks will be sent to eligible home service providers as reimbursement for the FTC's claim that HomeAdvisor misled businesses about the quality of customer leads associated with their memberships. Recipients are advised to cash their checks within 90 days of receipt.


Furthermore, 91,273 claim forms will be sent to businesses that paid for mHelpDesk. The deadline to submit a claim is February 26, 2024. For more information about the refund process, individuals can visit the website www.ftc.gov/HomeAdvisor or contact the refund administrator, Rust Consulting, Inc., at 1-833-915-1144. It is important to note that the FTC never requires individuals to provide payment or account information in order to receive a refund.


The FTC's dashboards for refund data provide a breakdown of refunds by state in FTC cases. In 2022, the actions taken by the Commission resulted in over $392 million in reimbursements to consumers nationwide.


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