A popular brain training app will pay $2m to settle accusations that it misled customers about the benefits of its software.
The US Federal Trade Commission (FTC) said adverts wrongly suggested that playing Lumosity a few times a week could improve work and school performance.
Lumos Labs, the app's developer, must now contact customers offering them an easy way to cancel any subscriptions, with $2m set to be refunded to those who've paid money to the company.
The FTC's Jessica Rich said: "Lumosity preyed on consumer fears about age-related cognitive decline, suggesting their games could stave off memory loss, dementia, and even Alzheimer’s disease,.
"But Lumosity simply did not have the science to back up its ads."
The Lumosity program consists of 40 games designed to target and train specific areas of the brain.
The firm said that using these games for 10 to 15 minutes three or four times a week could help users achieve their "full potential in every aspect of life".
The company sells both online and mobile app subscriptions, with options ranging from monthly to lifetime memberships.
As a result of the agreement Lumos Labs is also banned from making claims that Lumosity and related products improve academic or athletic performance.
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