Matched Betting Explained

This 8 step guide to Matched Betting has been structured to teach you the technique to earning free money betting online.

Step One: Do your research

It's imperative that you do your research before committing any money to Matched Betting.

Matched Betting can be done on any sports event and you can start off with as little as £50 of your own funds (assuming you start on the £10 free bets - which are recommended). Remember, Matched Betting is a proven technique to earning free cash but failure to do your research can result in the loss of a lot of money.

Matched Betting does not take to fools lightly and if you are a gambler looking to 'get rich quick' then Matched Betting may not be for you. This is because Matched Betting is a methodical process of extracting free cash from introductory bookmaker offers.

Matched Betting involves knowledge of cashback websites, bookmaker bonus offers, betting exchanges and Matched Betting terminology. A good understanding of all these will ensure that you earn hundreds of pounds within your first 4 to 6 weeks of Matched Betting.

Step Two: Join a Cashback Website

Cashback websites receive a commission payment from the bookmaker and once your purchase (or bet) is confirmed they will then share this commission payment with you.

This means the cashback website makes a profit on the sale and you get to recoup a portion of the initial outlay.

Example

The cashback website Rpoints offers cashback when you sign up to a bookmaker. To earn the cashback you must click through the Rpoints website and then place a bet on the bookmaker website.

Cashback websites place a threshold on when a customer can withdraw their earnings. This makes it necessary for a customer to return to the cashback website to add to their cashback earnings in order to reach the threshold target. All cashback websites have their own threshold and each target differs.

You may need to wait up to 12 weeks to receive payment from the majority of cashback websites. This is due to the verification and subsequent processing of commission payments from the bookmaker to the cashback website.

Cashing in the cashback

When your cashback earnings have reached the threshold target you can request a payment directly on the cashback website. Usually you will be paid via BACS or you will have the option of being paid in gift vouchers (such as Amazon gift vouchers). These vouchers are sent to you using e-mail, and consist of a code of numbers and letters, which when entered on certain online stores can be used to deduct money from the final cost of your order.

Step Three: Join a Betting Exchange

Betting exchanges are relatively new to the gambling industry and the most successful, Bet Fair, was only launched in June 2000.

Bet Fair and other betting exchanges are crucial to Matched Betting and allow you to cancel out your risk at the bookmakers.

A betting exchange provides you with a service so that you can set your own odds for a particular outcome of a sports event. A betting exchange allows you to act as both punter and bookmaker.

The middle man

Betting exchanges therefore act as a broker between the punter and bookmaker during the placement and subsequent settlement of bets. A betting exchange, similar to a broker in the world of buying stocks and shares, acts as the middle man and mediates between the buyer (punter) and the seller (bookmaker).

Betting exchange companies do not make their profits on the outcome of a sporting event. Instead, the punter and the bookmaker pay a small commission to the betting exchange upon settlement of every winning bet. This commission also pays for the provision of the services (such as their website, help desk centre etc) that the betting exchange provides.

Reduced commission

Typical commission payments are 5% for every pound won through a betting exchange. These commission payments often reduce over time and depend on the loyalty of the your betting via the betting exchange and the amounts you spend.

Recommended betting exchanges

The best betting exchange is Betfair and is highly recommended. Other popular betting exchanges include Betdaq, WBX and Betmate. We recommend that the first action you take is to sign up to Bet Fair or Betdaq. Have a play about on their websites and once you understand how Betting Exchanges work it is recommended that you then sign up to extract their free cash incentives.

Easy money

To claim a £25 free bet from Betdaq you must open an account with them. Enter the following betdaq promotional code during the sign up process and deposit the amount specified in the terms and conditions. It is recommended that you deposit more than the minimum amount in Betdaq however. Most Matched Bettors start off by depositing £50 to £200*.

That's a potential of £25 earnt through Matched Betting already. All that the Matched Bettor must do now is place their first Matched Bets to extract the free cash.

* For the purposes of this guide it is assumed that a deposit of £200 has been made into Betdaq.

Step Four: Choose a Free Bet

Free bets and cash incentives can be found on virtually every bookmaker and betting exchange website.

Free bets often range from £10 to £50 but don't be surprised to see free bets go up to £100 or even £250 in some instances. It is the responsibility of the Matched Bettor to extract all such incentives without falling for the lure of gambling.

To extract a free bet the Matched Bettor is required to make two separate bets - one after the other. The first bet is known as a qualifying bet and the second is known as a free bet.

Decisions, decisions

The hardest choice a Matched Bettor makes is to decide which free bet to go for. This is because the terms and conditions of free bets often differ. Typically, Matched Bettors will come across two types of free bets - Stake Returned and Stake Not Returned.

The most popular are Stake Returned Free Bets (SR) offered by the likes of Betdaq, Bet Fair, Coral, Eurobet (sister site to Coral), Jaxx and Sporting Bet. SR free bets ensure that a Matched Bettor maximises their free bet winnings.

Having signed up to Betdaq the next step is to grab the £25 free bet on offer with Jaxx for example. Similar to the sign up process with Betdaq, read the terms and conditions of the £25 free bet offer then click through to Jaxx. Sign up and deposit the £25 amount specified. Once you have placed your qualifying bet you will receive the £25 free bet from Jaxx for completing the first of your two needed Matched Bets.

Step Five: Find the Best Odds

Bookmakers in the UK use fractional odds (e.g. 3/1). A punter who accepts odds of 3/1 means they are prepared to risk £1 to win £3 from the bookmaker.

When you win with fractional odds you also receive back your stake. So, if you risked £1 at odds of 3/1, and then win, you will receive £3 plus your original £1 stake.

Result using fractional odds

That's a total of £4 a bookmaker ends up giving to the winning punter (at fractional odds of 3/1).

Betting exchanges, on the other hand, prefer to use decimal odds as they are easier to understand. Decimal odds differ because they include your original stake as part of your winnings. Fractional odds of 3/1 represent 4 in decimal odds. To calculate your winnings you just multiply your original stake (£1) by the decimal odds (4).

Result using decimal odds

That's a total of £4 a bookmaker on the betting exchange ends up giving to the winning punter (at decimal odds of 4).

The advantage of decimal odds is that they are much easier to compare quickly. Which would you prefer to use... fractional odds of 3/1 and 11/10 or decimal odds of 4 and 2.1?

Most betting exchanges and bookmakers allow you to change the odds displayed from fractional to decimal. In case you come across one who doesn't, feel free to use our useful Fractional to Decimal Odds Converter.

Finding the best odds

Before a Matched Bettor places any bets they must find back and lay odds that ensure no loss of money. Matched Bettors sometimes use odds comparison websites which do all the hard graft for you. Start by typing in a search for 'Odds Comparison' or 'Odds Checker' in Google for the latest odds from lots of bookmakers and betting exchanges.

Example

Manchester United are to play Arsenal and you have decided in advance to find best odds to Matched Bet with on this sports event. The latest odds show that Jaxx.com are offering Manchester United to win at 2/1 (3 in decimal odds). For Matched Betting to work you must now find lay odds on Betdaq which are less than or as close to 3 as possible. The final task is to scan for the latest Betdaq odds for Manchester United to lose. You find lay odds of 9/5 (2.8 in decimal odds) being offered and you decide this is your best chance to Matched Bet.

Double check

Use our Matched Betting Calculator to check you have found the correct odds to Matched Bet. Inputting the above example would result in a qualifying bet which results in a £0.91 profit - irrespective of the Manchester United/Arsenal result. Once satisfied you have found reasonable odds you are now ready to place a qualifying bet to extract the £25 free bet on offer at Jaxx.

Step Six: Place a Qualifying Bet

The Matched Bettor must first make a qualifying bet in order to receive the free bet from the bookmaker.

Qualifying bets are put in place by bookmakers and betting exchanges alike to ensure that you are a genuine punter. Qualifying bets are also seen as the first test of the Matched Bettors patience and determination to extract the free incentives. So long as you follow the Terms and Conditions of the free bet on offer you will receive your free bet without hassle.

The qualifying bet

Using the Manchester United/Arsenal match odds, first place a £25 bet at Jaxx.com accepting odds of 2/1 on Manchester United to win. Use the £25 you deposited at the time of signing up. Second, place a £27.27 lay at Betdaq accepting odds of 2.8 on Manchester United. This equates to risking £49.09 (£27.27 x 1.8) of the £200 you deposited at the time of signing up to Betdaq. All figures in this paragraph are generated using our free Matched Betting Calculator.

Congratulations, that's your qualifying bet done. You have just covered all possible outcomes of the Manchester United/Arsenal match!! Sit back and enjoy the game knowing that you're going to win irrespective of the result.

The potential outcomes

If Manchester United win... you will win £75 (including your £25 stake returned) from Jaxx but lose (-) £49.09 at Betdaq (End result equals £0.91 profit plus a £25 free bet from Jaxx and a £25 free bet from Betdaq).

If Manchester United draw * or lose.. you will lose (-) £25 at Jaxx.com and win £27.27 at Betdaq less (-) 5% commission at £1.36 (End result equals £0.91 profit plus a £25 free bet from Jaxx and a £25 free bet from Betdaq).

The outcome

The end result of this qualifying bet was a £0.91 profit and to receive two £25 free bets - one from Jaxx and one from Betdaq. This was achieved knowing that a guaranteed profit would occur irrespective of the Manchester United/Arsenal result. The last steps are to Matched Bet your free bet from Jaxx and Betdaq and to extract your winnings into a bank acount of your choice.

* For the purposes of this guide it is assumed that the Manchester United/Arsenal match resulted in a draw. Your Jaxx balance now stands at £0 but you will have a £25 free bet credited to your account. Your Betdaq balance now stands at £225.91 as you made £25.91 from your winning lay bet.

Step Seven: Place your Free Bet

The Matched Bettor must now bet the free bet from Jaxx. This is the final step before you can extract your winnings into a bank account of your choice.

Free bets are the Matched Bettors reward for their patience and determination. Similar to qualifying bets, free bets must be completed by: adhering to the terms and conditions of the free bet, finding the best odds, placing a back bet then placing a lay bet. However, it is important to calculate the correct back and lay amounts before placing your free bet.

To achieve this you must update our free Matched Betting Calculator to denote whether you are using Stake Returned Free Bets or Stake Not Returned Free Bets. As Jaxx and Betdaq ar both Stake Returned you'll enter £50 in the 'Of which free :' cell on the Calculator (If the Free Bet was Stake Not Returned you would need to enter the approriate amount in the 'Stake forfeit :' cell instead).

The £25 free bet at Jaxx is classified as a Stake Returned (SR) free bet as per its terms and conditions. You must input the £25 free bet amount into the calculator followed by your back and lay odds respectively. To ensure the highest possible winnings from your free bet you must select odds of 6 or higher for both the back bet at Jaxx.com and the lay bet at Betdaq.com.

Example

Chelsea are to play Tottenham in the FA Cup and you have decided in advance to find best odds to Matched Bet your £10 free bet with on this sports event. The latest odds show that Jaxx are offering Chelsea at 5/1 to win 1-0 (6 in decimal odds). For Matched Betting to work you must now find lay odds on Betdaq which are less than or as close to 6 as possible. The final task is to scan the latest market for the Betdaq odds for Chelsea to NOT win 1-0. You also find lay odds of 5/1 (6 in decimal odds) being offered and you decide this is your best chance to Matched Bet your free bet.

The free bet

Using the Chelsea/Tottenham FA cup match odds, first place your £25 free bet at Jaxx accepting odds of 5/1 on Chelsea to win 1-0. Second, place a £25.21 lay at Betdaq accepting odds of 6 on Chelsea to win 1-0. This equates to risking £126.05 (£23.95 x 5) from your Betdaq account - £25 of which is free remember! All figures in this paragraph are generated using our free Matched Betting Calculator.

Congratulations, that's your 2 x £25 free bets done. You have just covered all possible outcomes of the Chelsea/Tottenham FA cup match.

The potential outcomes

If Chelsea win 1-0... you will win £150 from Jaxx but lose (-) £101.05 at Betdaq (End result equals £48.95 profit).

If Chelsea do not win 1-0 *... you will lose nothing at Jaxx and win £25.51 at Betdaq (plus your £25 free cash) less (-) 5% commission at £1.26 (End result equals £48.95 profit).

The outcome

Having found the best odds on this sports event, placed your £25 free bet at Betdaq and placed an appropriate lay bet at Betdaq the end result will always be the same - you will have covered every possible outcome of the sports event and will stand to make a profit.

* For the purposes of this guide it is assumed that the Chelsea/Tottenham match resulted in a 2-0 win to Chelsea. Your Jaxx balance now stands at £0. Your Betdaq balance stands at £274.86 as you made £48.95 from your winning lay bet (having had a prior balance of £225.91).

Step Eight: Collect your winnings

Congratulations on achieving your first full Matched Bet! You are now ready to collect your deserved winnings.

You have earnt the following:

• £0.91 profit from a qualifying bet, plus

• £23.95 winnings from a £25 free bet at Jaxx, plus

• £25 winnings from a £25 free bet at Betdaq.

That makes a total profit of £49.86. You made profits of £0.91 from the qualifying bet, £23.95 from the £25 free bet at Jaxx and £25 from the free bet at Betdaq. You started off originally with a float of £25 in Jaxx and £200 in Betdaq. Your Jaxx balance after placing the free bet is £0 but your Betdaq balance is now £274.86.

Depending on the actual results of your qualifying bet and the £25 free bet your winnings might be split between the two sites (Jaxx and Betdaq). Both bookmakers and betting exchanges allow you to withdraw your winnings online. The process often takes between 3 to 5 days before payments arrive in your bank account.

The challenge now is to extract as much free cash as you can from all the other free bet offers out there. Start by looking through our free bets section as we list all of the latest free bets around. Alternatively, try our faq or contact us if you need any help.