Understanding Health Claim Regulations
Health claims for supplements are regulated by both FDA and FTC, with different agencies focusing on different aspects. FDA regulates labeling and packaging claims, while FTC regulates advertising claims including website content, social media, and marketing materials. Both agencies' requirements affect payment processing.
FTC requires that advertising claims be truthful and substantiated. Claims must have competent and reliable scientific evidence supporting them before they're made. Testimonials must reflect typical results unless atypical results are clearly disclosed. These requirements apply to all advertising channels.
Disease claims trigger significant regulatory risk. Claiming that products diagnose, treat, cure, or prevent disease moves products from supplement to drug classification, creating FDA enforcement exposure. Processors are particularly sensitive to disease claims because of associated regulatory risk.
The distinction between acceptable structure/function claims and prohibited disease claims can be subtle. 'Supports joint health' is generally acceptable; 'reduces arthritis pain' is a disease claim. Marketing teams must understand these boundaries, and processors evaluate compliance as part of risk assessment.
Claim Compliance and Processing Stability
Processors review marketing materials during underwriting and may monitor ongoing compliance. Website content, advertising, and product packaging all factor into risk assessment. Claims that create regulatory exposure create processing risk.
Third-party review of marketing claims reduces compliance risk. Having qualified reviewers evaluate claims before publication prevents inadvertent violations. The cost of review is minimal compared to regulatory or processing consequences of non-compliance.
Documentation of claim substantiation supports processing relationships. When you can demonstrate that claims are supported by evidence, processors have confidence in your compliance discipline. Organized substantiation files also support FTC compliance.
Rapid response to compliance concerns protects processing relationships. If processors identify claim concerns, addressing them immediately demonstrates the compliance orientation that supports account stability.
How Goodlane Group Supports Claim Compliance
We help supplement merchants understand how health claim compliance affects payment processing. While we don't provide legal advice on claim content, we understand processor perspectives on claim-related risk.
Our review of your marketing identifies potential processing concerns. Claims that may trigger processor scrutiny deserve attention before they create account problems.
We connect merchants with processors appropriate for their claim profiles. Some processors have stricter policies on certain claim categories; matching your products and marketing to appropriate processors improves stability.
For merchants facing processor concerns about claims, we help navigate the response. Understanding what processors want to see and addressing concerns effectively preserves account relationships.