You may have noticed in my matched betting guide that we placed our free bet at high odds. There’s a reason for that and I’ll explain why.

Once we’ve received a free bet, it’s time to extract our profit. The vast majority of free bets are ‘stake not returned’, which means that we only get the winnings back and not the free bet stake itself.

Say, for example, we have a £10.00 free bet that wins at odds of 3.00 (2/1). We would win £20.00 cash and the £10.00 free bet stake would not be returned.

We can maximise our extracted profit by placing our free bets at high odds, which accounts for the fact that the free bet stake is not returned.

Which outcome should I choose?
Following on from my Qualifying Bet Strategy example, I’ll show you how to extract your profit from the Ladbrokes £50.00 free bet.

Before we go ahead and place a free bet, it’s important that we double check the free bet terms.

There may be restrictions on how we can use them, such as having to be placed on specific markets or at certain odds.

I’ve opted to place my free bet on a football match between Juventus and Sporting Lisbon…

As you can see, placing our free bet on Sporting Lisbon to win (the highest odds), allows us to make the biggest profit of £38.08. If we bet on a draw, we’ll make £34.27 profit and if we bet on Juventus to win, we’ll make a rather small £14.84 profit.

Obviously, we need back and lay odds that are fairly tight, but generally speaking, the higher the odds, the more profit we’ll extract from our free bets.

It’s also important to note the exchange liability figures. Our exchange liability is the amount we stand to lose from our Betfair account in the event that our lay bet loses. As you can see, the higher the odds, the more money we need in our Betfair account to place the lay bet.

There may be occasions where you don’t quite have enough exchange funds to go for the most profitable option. There’s nothing wrong with placing your free bet on an outcome with a smaller exchange liability, you’ll just make a slightly smaller profit.