I posted about this same thing too, didn't receive an official answer and it's impossible to get to support from a real person at Facebook anymore, so I can only conclude that yes, this is indeed the case that only businesses are allowed to have Facebook login on their websites or apps now. I hope this policy backfires on them, seems rather mad to me and will just encourage developers like me to switch over to Google or MS which have supported login's for years without any of this data use checkup stuff.

I have same issue, the new requirement to setup a business account is awful for students like me, as I don't have any business :-(

I have the same issue, and not being able to get any feedback or support from Facebook is extremely frustrating. I've tried a lot, but there really doesn't seem to be a way to get any support. With only a couple of days left to do the data usage checkup, I have no idea how to proceed with this. Removing FB Login from my app and only using different providers would be a solution, but what do we do with all the existing accounts that were created using FB Login? We won't be able to just migrate them. Does anyone have experience with this?