Modern betting sites have a range of extra features and tools beyond the fundamental act of accepting bets. These tools offer punters extra fun, more control, and more options. Cash out is one of the most popular such features. It is important for bettors to understand it because it can prove very useful. However, overusing it can reduce the value of your bets.
What Does Cash Out Mean in Betting?
Cash out is a tool bookmakers offer on the major sports, events, and markets. It allows you to close a bet before it reaches its full and natural conclusion. Generally, where cash out is available, you can use it at any point from placing your bet until the final seconds of the event.
Betting sites use the current odds of the selection you backed to calculate a cash out value. If your bet looks set to win, you can cash out for a profit, although always less than the full return had you let it run. Conversely, if your bet looks like losing, the cash out value will be lower than your stake. You will be locking in a guaranteed loss, but at least you will get something back.
How Does Cash Out Work?
Now you know what cash out means, let’s look at how it works. The first step is to place a bet that is eligible for cash out. Most bookmakers show a symbol or text next to the odds if a market has cash out.
Imagine you bet on Everton to beat Liverpool and the Toffees go 1-0 up. Despite their lead, you have major doubts they will hold on and win, so you decide to take the profit while you can. When they scored, this would have caused a change in the odds. The later in the game it is, the bigger the price movement will have been.
You can cash out via your account, “My Bets”, or the market page. The exact process varies from one site to another. You may have options for full cash out, partial cash out, or auto cash out.
Full cash out closes your entire bet, swapping an open bet for a fixed amount of real cash. But what does partial cash out mean? With this option, you can cash out some of the bet but leave some still to run. This gives you a guaranteed minimum return, with the chance to win more if the bet wins.
Auto cash out lets you set up a cash out that will occur when a fixed profit is reached. This is a good option with outsiders. It’s also useful if you can’t watch the game.
Why Do Bookmakers Offer Cash Out?
Bookmakers offer cash out for several reasons. Cynics would argue they do it to increase their profitability. Essentially, when you cash out a bet, you are just placing another bet that opposes your original wager. Bookies factor a profit margin into all of their odds, and so a second bet creates more profit for them.
It also increases betting activity and customer engagement. Bookies might argue that this offers punters more control and flexibility. It attracts gamblers who value flexibility, and can make betting more engaging. However, cynics might suggest that betting sites only care about greater engagement as it generates more income.
Cash out can also benefit the bookies by giving them greater control over their liabilities. If they have a big liability on one side, risk-management tools can try to balance that out using customer cash out.
Advantages and Disadvantages of Using Cash Out
- Advantages
- Greater control over bets
- Fully automated, so very easy to use with no calculations required
- Can free up balance for alternative bets
- Can avoid frustrating late losses
- Disadvantages
- Creates another choice for punters that can be stressful
- Tempting to use cash out for safety, but diminishes value
- Essentially the same as placing an in-play bet
Examples of Cash Out in Action
What does cash out mean in betting? This is best shown with an example. Cash out is popular with accumulators due to the potential for big wins and thus handsome cash out values.
Imagine you place a £20 treble on three teams to win in the Premier League. At odds of evens, 2/1 and 5/2, you stand to land a return of £420. If all three were winning by a single goal as we entered the final stages of the matches, you might be looking at a cash-out offer of £250 to £300. That is far less than £420, but one goal in any of the games would leave you with a £20 loss.
What does partial cash out mean? You could cash out £10. This might mean a guaranteed return of around £140. You also keep the excitement of half your bet remaining live. If all three win, total returns would be boosted by an extra £210!
Tips for Using Cash Out Wisely
The key tip for using cash out is to understand that, really, you are just placing an additional in-play bet. Therefore, only use cash out where you would be happy to place such a bet. Otherwise, you risk poor value and reduced profit by placing essentially bad-value wagers.
Also, know how it works. Knowing the answer to “what does confirm before cash out mean?” and “what does cash out suspended mean?” is essential. Ultimately, once you understand cash out, it can be helpful, but it is best used sparingly.
Conclusion
Cash out is a feature many top bookies offer. It lets you settle bets early to cut your losses or take a smaller guaranteed win. Cash out is a useful tool, but it does not ensure profits. If overused, it diminishes the value you get from your bets.