Matched Betting has become very popular in recent years. Everyone is doing it! It’s a fantastic way to earn money, even if you don’t know anything about betting or sports.
In this article we’re going to explain What is Matched Betting, how Matched Betting works, how you can profit and a few other very important tips before you get started.
What is Matched Betting?
You might have heard the term talked about before but didn’t quite understand it because it had betting in the title. The good news is; you don’t have to know much about betting. “Matched Betting” can actually be a little bit misleading; because technically you aren’t betting – you lock in a profit on all outcomes before the event starts.
To describe it easily; Matched Betting is a way of profiting from Free Bets and Bonuses from Bookmakers. Most Bookmakers will make offers to entice new customers – they basically create these offers giving away money so they get more customers. Most customers will just place their free bet on anything – but the sharp Matched Bettors can rack up a huge profit from these offers.
So how do they do this?
It’s simple and anyone can do it. All you have to do is open an account with a bookmaker, place your free bet on a selection – let’s say Manchester United to beat Arsenal at increased odds for the bookmaker promotion for example – and then lay your stake off on an exchange.
Most people new to betting might take a while to understand the exchange bit; but we’ll explain that later. For now, think of Matched Betting like this:
You place £5 on Manchester United to beat Arsenal at 5/1 (6.0). This will win you £25 if Manchester United win.
You then lay Manchester United to beat Arsenal at 3.0 (2/1) on an exchange. This will mean you lose £10 if Manchester United win, and win £5 if Manchester United lose.
So if Manchester United win, you win £15. If they fail to win, you lose nothing.
You have locked in a no loss situation. Exchange commission will come into calculations but we’ll explain that below too. For now all you have to understand is you BACK a selection with the bookmaker, and then LAY the same selection on an exchange.
What Is An Exchange And How Much Commission Will I Have To Pay?
To be a successful Matched Bettor you need to have accounts with the Exchanges. The biggest Exchange by a distance is Betfair, and there are three others called Betdaq, Smarkets and Matchbook.
An Exchange is basically a platform where people bet against each other. You can back or lay selections and you will have your bets matched against other people. When you lay bets; you essentially become a bookmaker yourself. Because Exchanges are just platforms, they make their money through charging commission on winning bets.
The commission you will pay will vary between Exchanges – the highest being 5% of your winnings and the lowest is 2%. If you don’t understand what commission is; it’s basically the Exchanges cut for suppling the markets. You will need to factor in how much commission you will pay when Matched Betting – but there are plenty of online calculators how there to do that for you.
How To Do Matched Betting
OK; now you know what Matched Betting is we’re going to lock in some profit. Remember the Manchester Untied example above – we won £15 if they won but got £0 if they failed to win. We need to correct that and win whatever happens.
There are tonnes of online calculators out there to do the maths for you, so don’t sweat it. But to explain it simply;
BACK Manchester United to win for £5 at 5/1 (6.0) to get £25 if they win.
Then LAY Manchester United for £10.15 at 3.0 (2/1). This will mean you liability on Manchester United is £20.30.
So you’re book should look like this:
IF Manchester United win; £4.70 profit.
IF Manchester United fail to win; £4.67 profit.
And that’s a Matched Bet! The key is finding the right stake at which to lay on the exchange to lock in a profit regardless of the outcome. You will pick this up quite quickly once you start matched betting, and if you’re struggling there’s loads of calculators online like we said.
Does Matched Betting Really Work?
The short answer is Yes. There is literally nothing stopping anyone opening account with bookmakers and exchanges, and profiting. Possibly the only thing is if they are over 18!
Matched Betting WILL make you profit. But you have to be professional about doing it. If you don’t keep track of all your bets placed it can become confusing very quickly. You also need to be very careful with your staking and remember that bookmakers don’t like Matched Betting so they are likely to restrict your account.
Is Matched Betting Legal?
Yes. Matched Betting is perfectly legal. Do the bookmakers like it? No. Bookmakers never like giving away “free money” or “good value” but they do it to entice good customers. They expect these customers to lose money but if they see a sharp bettor or a Matched Bettor they are highly likely to restrict or even close your account. Other than doing that; there is nothing bad that can happen to you when Matched Betting.
How Long Does Matched Betting Take Each Day?
It depends how professional you want to go. But the average time each day is between 15 minutes up to an hour. With the helpful online tools; it shouldn’t take that long to find the right stakes to lock in a profit and place the bets. Remember to keep records of all the bets you place – that might take a little extra time.
Matched Betting is something that you can do on your lunch break from work and make a little extra money each month. It really is that easy. The more practice you have at getting your bets on, laying on the exchanges and finding the right matched bets the quicker you will become. So allow an hour when starting and that will come down to less than 30 minutes by the time you are more experienced.
Why Is Matched Betting So Popular?
Easy. For the reasons we have noted above! Anyone can do it and it only takes a short period of the day to make money. There’s really no reason why anyone shouldn’t at least try Matched Betting – unless you really don’t want to get your bookmaker accounts restricted or closed down.
Anything that is as easy to do as Matched Betting and earns money will obviously have a lot of people doing it. That is one thing to be aware of though; many people will be trying to get the same offers as you. Always check your emails for new offers and try to be ahead of the crowd.
How Quickly Can I Learn Matched Betting?
You should be able to learn how to do Matched Betting quickly. Allow a week to get to know how to place bets, take offers and lay bets on the exchanges. After one week you should be fully up to speed on everything and then you’re free to make money then.
Laying bets on the exchanges is the tricky bit of Matched Betting. Using exchanges can be confusing but there are plenty of helpful videos and articles out there on how to lay bets. Remember laying on Betfair means clicking on the pink button; and more importantly when laying always think of your liability rather than how much you can win. It’s your liability that you are risking!
For example; when laying a 5.0 (4/1 shot) for £10 – you are risking £40 to win £10. Not many people would put £40 on to win £10 on a favourite. Always think of your liability first.
What Are The Best Tips For Matched Betting?
Tip 1: Bank Management. Staking is so important when Matched Betting. You have to understand how much the market can take on the exchanges and how much a bookmaker is willing to lay.
For example, if you can get £200 on with the bookmaker but there is only £100 to lay on Betfair – you are stuck with a £100 bet that you don’t want. It’s so important to keep you bank and staking at a level that the market can absorb. That will stop you getting into difficulty.
Tip 2: Be Organised. Be prepared for each day and have a little desk space set up. Keep an Excel sheet of all your bets and monitor everything. You might find on a Saturday that there will be a high volume of bets and you just have to keep track on them; otherwise that just leads to a mix up.
Keep a detailed Profit & Loss sheet in Excel as well. Small daily profits can really add up; but you don’t want to lose focus of your goals – make sure you know how much you’re making each day, month and year!
Tip 3: Avoid Mug Bets. This follows on nicely from keeping a detailed P&L. With every betting strategy your margin is likely to be low. Don’t waste money by throwing it away on mugs bets!
Even with Matched Betting, margins can be low and it’s about grinding out those daily wins. Locking in profit and profit – don’t find four Matched Betting opportunities and throw that profit away with one mug bet.
Tip 4: Be Consistent. This one ties into no mug betting so it is a natural one. You can’t change your tactics daily when you are matched betting – always be consistent! The profits are going to rack up but to be successful you need to find what you’re good at and stick to it. Don’t go looking for some wild outside markets that have no liquidity on the exchanges. Stick to what you’re good at.
How Big Does My Bank Have To Be For Matched Betting?
The good news is you can start with any bank size. However it’s recommended that you have a reasonable amount to start with. Let’s say around £1,000 is enough to get your bets placed, lay on exchanges and have a little back up for when money is tied up.
Remember it usually takes between three to five working days when your withdraw from your bookmaker account for the funds to hit your bank account. There are so many bookmakers now, you have to be careful to not tie up too much of your money in the one place. Or else be waiting three to five days for the money to hit your account so you can deposit it with another bookmaker. You always need to have back up funds for when you find a new offer that you can deposit straight away, and you need plenty of money in your exchange account for laying.
Do I Have To Pay Tax On Profits Of Matched Betting
No! That’s great news then! Matched Betting is still viewed as betting, and there is no tax on betting profits. So even if you view it as a little business on the side, you still don’t have to pay taxes. Everything you earn if yours to keep.
What’s The Number One Risk With Matched Betting?
There isn’t much risk when Matched Betting. However there is one big thing that you need to be aware of before you start. Even an experienced Matched Bettor could struggle with this one. Always remember when you place a bet with a bookmaker, you need to lay off on the exchange. If you don’t lay off; you’re stuck with a bet. And we do not want that.
There are tonnes of Matched Bettors out there, and they will be fighting over the same offers. Always make sure that there is enough money on the exchange to cover your lay before placing your back bet. This is the single most important thing when Matched Betting.
Will Matched Betting Last Forever?
When you start Matched Betting you have to remember that it won’t last forever. It is a superb bank building tool for a trader just starting out, and brilliant way of making money for someone who doesn’t know anything about betting. But; the bookmakers will get you in the end – with closing your accounts!
Bookmakers don’t like when people do Matched Betting and after a while, they will heavily restrict your account or close it. For a Professional Gambler; Matched Betting is something that they would never do because it would never last that long. It has to be viewed as a short term earner rather than a long-term way of profiting.