Guide · 8 min read
Converting a free bet: turn it into cash without a betting exchange
How to cover a free bet with a cover bet at a second bookmaker, with the formula for both kinds of free bet, fully worked examples, the bonus terms that matter and an honest list of what can go wrong.
Updated 22 October 2026
Contents
What a free bet is: stake returned or not
A free bet is betting credit a bookmaker gives you, for example as a welcome offer or in a promotion. You place it like a normal bet, but none of your own money goes in. You can't withdraw it directly; it only has value if the bet wins. How much it pays then depends on the type:
- Stake not returned (SNR). The usual kind. If the bet wins you get the winnings only: free bet × (odds − 1). A €20 free bet at odds of 4.00 pays €60, not €80.
- Stake returned (SR). Less common. If the bet wins you get the winnings and the stake: free bet × odds, so €80 in the same example.
The bonus terms tell you which kind you have. They also set the minimum odds, the deadline and whether the winnings can be withdrawn straight away or must be wagered first. Bonus terms differ between bookmakers; always check the terms and conditions.
Why there's no exchange in Austria
The classic free-bet method comes from the UK: place the free bet at a bookmaker, then lay the same outcome at a betting exchange, which means betting against it. In Austria that doesn't work in practice. The well-known betting exchanges don't accept customers resident in Austria, and in Germany access is heavily restricted too. We don't recommend operators that exclude Austrian customers, nor ways around that.
The method that works here is a cover bet at a second bookmaker. You put the free bet on one outcome and your own money on the other outcome or outcomes, at a different bookmaker. It's the same idea as a sure bet, except that one stake isn't cash. The sure betting guide explains how stakes are split in general.
The formula: cover stake = free bet × (odds − 1) / cover odds
The aim is to get the same amount back whichever outcome wins. A winning SNR free bet pays free bet × (odds − 1), so the cover bet is sized to pay exactly that too:
SNR: cover stake = free bet × (odds − 1) / cover odds
SR: cover stake = free bet × odds / cover odds
What you keep is the payout minus the cash you staked, whatever the result:
result = free bet × (odds − 1) − cover stake (SNR)
share of the free bet kept = result / free bet
Two rules of thumb follow from the formula. With an SNR free bet, higher odds on the free bet usually keep more, because the lost stake matters less; in exchange you need more cash for the cover bet. And the closer the two prices together are to a fair market, the more you keep. You usually keep part of the free bet's value, not all of it.
Worked example: a €20 free bet at odds of 4.00
You have a €20 SNR free bet at Bookmaker A, which offers 4.00 on Player 2. Bookmaker B offers 1.33 on Player 1.
If it wins, the free bet pays €20 × 3.00 = €60.00. Cover stake at B: €60.00 / 1.33 = €45.11 (rounded to the cent).
| Outcome | Free bet at A | Cover bet at B | Result |
|---|---|---|---|
| Player 2 wins | +€60.00 | −€45.11 | +€14.89 |
| Player 1 wins | €0.00 | +€14.89 | +€14.89 |
If Player 1 wins, the cover bet pays €45.11 × 1.33 = €60.00, €14.89 more than you staked; the free bet is gone, but it cost you no cash. In this example you keep about 74% of the free bet's value, if both bets are accepted at the shown odds and stand.
If it were an SR free bet, the cover stake would be €20 × 4.00 / 1.33 = €60.15, and either outcome would leave €19.85.
To see how much the odds matter, here is the same €20 SNR free bet at other pairs of prices. Each cover price is picked so that the two prices together roughly match a fair market; real prices are often a little worse.
| Free bet odds | Cover odds | Cover stake | Result | Share kept |
|---|---|---|---|---|
| 2.00 | 1.95 | €10.26 | €9.74 | 49% |
| 4.00 | 1.33 | €45.11 | €14.89 | 74% |
| 6.00 | 1.20 | €83.33 | €16.67 | 83% |
In these examples higher odds keep more, but they tie up much more cash, and their cover bets hit stake limits more often. The bankroll guide covers how much balance you need in which account.
Two cover bets on 1X2
A football match result has three outcomes. If you put the free bet on one, you cover the other two with one cover bet each, ideally at whichever bookmakers have the best price for each. Every cover bet uses the same formula:
cover stake X = free bet × (odds − 1) / odds X
The same €20 SNR free bet on the away win at 4.00. The cover bets: home win at 2.00 at Bookmaker B, draw at 3.70 at Bookmaker C. Each should pay €60.00: €60.00 / 2.00 = €30.00 and €60.00 / 3.70 = €16.22. Cash staked in total: €46.22.
| Outcome | Payout | Cash staked | Result |
|---|---|---|---|
| Away win (free bet) | €60.00 | €46.22 | +€13.78 |
| Home win | €60.00 | €46.22 | +€13.78 |
| Draw | €60.01 | €46.22 | +€13.79 |
In this example you keep about 69% of the free bet's value, if all three bets are accepted at the shown odds and stand. The one cent difference is rounding.
Three bets at three bookmakers means three chances for a price to move or a stake to be only partly accepted. Two-outcome markets are usually simpler to convert.
Bonus wagering: requirement, minimum odds, deadline
Many bonuses aren't free bets but bonus credit that only becomes withdrawable once you have wagered a set amount. Sometimes that applies to free-bet winnings too. Three terms decide what such a bonus is worth:
- Wagering requirement. How many times you must stake the bonus (sometimes bonus plus deposit). The turnover needed is requirement × bonus, or requirement × (bonus + deposit).
- Minimum odds. Only bets at or above these odds count towards the turnover. On accumulators they may apply per selection or to the total odds, depending on the terms.
- Deadline. When the turnover must be reached. After that, the bonus and often the winnings from it expire.
If you wager the turnover with covered bets, each bet costs roughly the market's margin: little on a fair pair of prices, noticeably more on a poor one. So work it out roughly first: turnover needed × expected loss per euro wagered, and compare that with the bonus. With a high requirement and a short deadline, a bonus can cost more than it brings. Usually only the bet at the bookmaker that gave the bonus counts, not the cover bet.
Bonus terms differ between bookmakers; always check the terms and conditions.
Austrian betting duty and German betting tax on free bets
Austria. Sports bets carry a betting duty (Wettgebühr) of 5% of the stake (Gebührengesetz § 33 TP 17, since 1 April 2025; 2% before that). The bookmaker owes it. Most bookmakers absorb it, some pass it on by cutting the stake or the payout. The Austrian betting duty guide has the details.
Germany. Germany charges a betting tax of 5.3% of the stake (Rennwett- und Lotteriegesetz § 17). The operator owes it too, and it is sometimes passed on as well. The tax and legality guide explains more.
For the free-bet maths, what matters is how a bookmaker passes the charge on:
- A deduction from the payout or the winnings lowers what the free bet or the cover bet pays. The cover stakes then need recalculating.
- A charge on top of the stake only affects the cover bets, because you pay no cash in for the free bet. If a bookmaker instead takes the charge out of the free bet amount itself, work with the amount actually shown on the bet slip.
Back to the tennis example. If Bookmaker B takes 5% off the payout, the 1.33 really pays only 1.33 × 0.95 = 1.2635. The cover stake rises to €60.00 / 1.2635 = €47.49, and either outcome leaves €12.51. In this example you keep about 63% of the free bet's value instead of 74%, if both bets are accepted at the shown odds and stand.
How a bookmaker treats the charge on free bets is in its terms or on the bet slip. Check before the first bet.
What can go wrong: voids, bonus terms, limits
On paper the result is the same for every outcome. These are the things that can change that:
- The price moves before your second bet. Place the bet whose price is most likely to drop first, then recalculate the second with the price you actually get. If the cover price drops a lot, little or nothing of the free bet may be left, or you may lose cash.
- Voids. If a price was an obvious error, a bookmaker may void the bet under its terms. If the cover bet is voided, your free bet is uncovered. If the free-bet bet is voided, you may or may not get the free bet back, depending on the terms, and your cover bet stands alone.
- Bonus terms. Minimum odds missed, the wrong market, a deadline passed or an accumulator requirement overlooked: the free bet then doesn't count or the winnings aren't paid out. Some terms explicitly forbid covering bonuses across several accounts or with opposing bets at the same operator.
- Different settlement rules. Bookmakers can settle tennis retirements or extra time differently. Then both bets can lose.
- Limits. Accounts that only ever take bonuses often stop getting offers or get lower stake limits. See how bookmaker limits work.
Check both bet slips before you place the second bet: the same event, the same market, the free bet actually selected and the stake accepted in full at the expected odds.
How ArbVantage works out free-bet mode
ArbVantage does the maths; you decide every bet. The app has several places for it:
- Calculator, "Free bet" tab. You enter the free bet amount and type (stake returned or not), its odds and one or two cover bets. The calculator shows the cover stakes, your cash staked, the payout and the share of the free bet you keep. It works known betting taxes and commissions into each bet; where a charge is added to the stake, it also shows the amount to type in. If you round the cover stakes you see what that costs, and if it costs too much it rounds more finely. If the odds you entered keep nothing, it tells you.
- "Use a free bet" in Opportunities. You enter the amount, the bookmaker and the type, and ArbVantage ranks the current sure bets with a leg at that bookmaker by how much of the free bet you keep. This only works for bookmakers whose odds are in the feed; for any other bookmaker, enter the odds in the calculator yourself.
- Free bets and bonus wagering on the bookmaker card. In Tracking you log a free bet with its expiry date and minimum odds, and "Find a conversion" takes you straight to matching opportunities. With "Track bonus wagering" you enter the bonus, the requirement, the minimum odds, the start date and a deadline; ArbVantage then adds up your logged, settled bets at that bookmaker at or above the minimum odds. Free-bet stakes and voided bets don't count. We don't recommend any bonus and don't know your bookmaker's terms; the numbers come from you.
How it works shows how opportunities, the calculator and tracking fit together. You can try the free-bet calculator in the app free for 14 days; after that ArbVantage costs €97/month.
Frequently asked questions
Is a covered free bet risk-free?
No. Odds change, bets can be voided and bonus terms can restrict the payout. The maths only works if both bets are accepted at the shown odds and stand.
Do I need a betting exchange?
No. Instead of laying the bet at an exchange, you place a cover bet on the other outcome at a second bookmaker. On a three-way market such as 1X2 you need two cover bets. It usually keeps a little less of the free bet than an exchange would, but it works with ordinary bookmaker accounts.
Is converting free bets allowed in Austria?
For you, yes; bookmakers can still restrict bonuses under their terms. You place two ordinary bets at two bookmakers. A bookmaker can withdraw a bonus or restrict an account if it thinks its bonus terms were broken. If you live in Germany, bet only with operators on the GGL whitelist.
Do sure bets count towards bonus wagering?
The bonus terms decide. Usually only the bet at the bookmaker that gave the bonus counts, and only if it meets the minimum odds and settles before the deadline. Some terms exclude certain markets, bet types or voided bets. Read the terms before you place the first bet.
Only stake money you can afford to lose. A free bet is a bookmaker's promotion, not an entitlement, and a single void can cost more than the free bet was worth.
Information, not betting advice. 18+. Betting involves risk. If betting stops being fun, see our responsible gambling page.