Matched betting by definition is a form of arbitrage that allows you to generate risk free profits by using free bets in conjunction with betting exchanges. Using an appropriate strategy you should be able to compound a decent amount of profit within the regions of £700 to £1000.
To apply such a strategy you need to open a ‘betting exchange account’ such as betfair and also a ‘bookmaker account’ that is offering a ‘free bet’ promotion. For a list of free bets take a look at free matched bets
The system works by placing a bet at the bookmaker and then laying (betting against) it off at the betting exchange, essentially all your doing when applying this technique is hedging your bets to create a profitable scenario that eliminates risk. The value in this betting method exists because of the ‘free bets’ entity. If online bookmakers were to stop offering them tomorrow this type of risk free bet would become obsolete.
In order to implement matched betting properly you need to place two rounds of bets, the first round consists of a placing a qualifying bet and the second round involves using the free bet stake, which is where you make the money For a free guide on matched betting strategy take a look at onthesmartmoney.com
A few matched betting tips
When matched betting the idea is to maximize profits the higher the free bet stakes the better your overall return will be. A £50 free bet is much better value than a £10 one for example. From personal experience I have found the best time to take advantage of high value bets are when special events are taking place. A prime example is the famous ‘Cheltenham horse racing festival’ in March. For some reason at this time of the year bookmakers love to give big free bets away that you normally cannot get at other times of the year. An example this year (2009) is ‘ladbokes’ they were offering a free £200 bet throughout the festival. To qualify all you to do was open an account place a bet and you would receive a freebie bet to the same value. This type of great offer never seem to materialize at others times of the year. So take advantage when they come along.