Care.com to Pay $8.5 Million to Customers in FTC Settlement for Misleading Caregivers, Families

The U.S. Federal Trade Commission (FTC) is demanding that Care.com, a platform for independent caregivers in the field of elder and child care, pay $8.5 million in restitution for misleading caregivers looking for work and making it difficult for families to cancel their paid subscriptions.

The agency said Monday that the company’s marketing messages misled customers about the number of jobs available on its platform and the amount of money they paid.

Separately, the FTC said Care.com made it difficult to cancel subscriptions, sometimes directing users to multi-page questionnaires and warnings, and ordered it to provide a “simple cancellation method.”

Care.com released a statement saying it had reached a settlement with the FTC to continue focusing on helping families and caregivers, though it was initially “fully prepared to pursue legal action in the coming years if necessary.”