DM of the Week: How Do I Do Matched Betting?
My most frequently DM’ed question recently has been: How do you actually do matched betting? It’s a really profitable side hustle requiring very little effort, but it seems complicated to get started with, which puts a lot of people off. So here is a quick little blog post to explain how it works.
Matched Betting Overview
Placing a matched bet means you are really placing two bets; one to back a particular outcome (e.g. Liverpool FC to win) and one against a particular outcome (e.g. Liverpool FC NOT to win). Betting against an outcome is called a ‘lay bet’, so you will always place a back bet and a lay bet to make sure you don’t lose your money.
You will generally place back bets with a bookie, like Ladbrokes, William Hill etc. To place a lay bet, you use an exchange, such as Smarkets or Betfair. I use Smarkets because they are offering a 0% commission deal for Profit Accumulator customers, whereas you are usually charged a small fee of 5% with Betfair.
How does it work?
The purpose of placing a matched bet is to unlock free bets from bookies, without losing any real money to do so, other than a small qualifying loss.
To take the current Ladbrokes offer as an example, as a new customer, if you place a £5 bet, they will give you £20 in free bets. Using matched betting, you want to unlock the £20 free bets without losing your initial £5. To do this, you place you £5 back bet at Ladbrokes, and lay the bet at Smarkets, so you are covered regardless of the outcome and get your money back, minus a small qualifying loss. Here is an example of how you work everything out, using the Profit Accumulator calculator.
As you can see, regardless of the outcome, you’ll get your money back, minus 23 or 24p (which is your qualifying loss). Therefore, the purpose of this process is to unlock your free bets without actually being out of pocket.
Then you are issued £20 in free bets. You repeat this process again, placing your back bet and your lay bet to cover all outcomes. As you’ve used free bets, this is where you’ll make your profit. Here is an example on the Profit Accumulator calculator.
So taking into account your qualifying loss, you stand to make around £14. As a new customer, there are 70+ offers on the Profit Accumulator site to get started with, plus the existing customer offers (also known as reloads) that bookies are continuously offering, so your first few months can be extremely profitable (here’s how much I made). Once you get used to the process, you can work your way through the offers relatively quickly.
Lay Betting Explained
While most of us are familiar with regular back betting, lay (against) betting is a whole new concept. You are always laying your bet based on the exact opposite outcome to your back bet, so in the example I used above for Liverpool FC wherein your back bet is for Liverpool FC to win, your lay bet is for Liverpool FC NOT to win, rather than betting that the opposing team will win, because you haven’t covered all outcomes in this case, such as a draw.
The other aspect of lay betting that I was unfamiliar with as a newbie is liabilities. Your liability is the amount that the exchange will take from your account in order to place the bet. The best way I can explain this is the liability figure is roughly the amount that you stand to win if your back bet wins. If your back bet wins, the money you win will cover the liability you lose. If you lay bet wins, you get your liability back, plus your initial stake which covers your back bet. This is extremely complicated and my best advice is, as long as you’ve calculated everything correctly, don’t worry too much about having a thorough understanding of how it works in the beginning- it’s not necessary and in actual fact, it might overcomplicate something that is made very simple if you have a Profit Accumulator membership.
So hopefully this helps to explain matched betting to you if you are thinking of starting. With Christmas fast approaching, matched betting is an excellent option to pay for it by working from home at times that suit you. If you have any questions, leave them in the comments section below and I’ll be happy to help!