Cash Out Betting

This article will explain everything you need to know about the cash-out feature which is now a common part of betting - especially on Football parlays

Cash-out has become very popular in recent years and is a sportsbook feature that allows you to settle your bet at any given time before the event or events finish for a set payout. 

That amount varies depending on how likely your bet is to be successful.

Cashing out on Football Parlays

It is most commonly associated with football or basketball parlays with punters cashing out of bets either late on in matches or when several matches are already successful and there is one match remaining on the bet .

How Does Partial Cash Out Work?

Partial cash out gives you more control over your cash out. 

With full cash out the decision is solely whether or not to completely settle your bet there and then. 

After a winner, you may be able to remove your original stake

With partial cash out you can cash out any percentage of your bet and leave the rest to run. 

For example, you might decide you are willing to give up some of your winnings in order to ensure you don't lose your original stake amount, leaving the rest of your bet to ride as normal. 

This spreads out the risk/reward of cashing out.

When Should You Avoid Cashing Out?

Cash-out is heavily pushed by sportsbooks with good reason - the odds heavily favor them. 

It's true that some sports bettors win from bets they would ordinarily have lost from but it's also true that some punters win a lot less from bets that would have yielded a higher return had they not cashed out.

Understand the value of the cash-out option

The really important factor is the value perspective of cash out. In exchange for having the option to easily take a sum for an unsettled bet, you lose out on a lot of value.

For example, you might stand to win $600 if the last leg (a +200 shot) of your $30 +1900 parlay wins. 

This means your bet at this time is effectively $200 on that selection at +200 

If you cashed out at the true odds your return would be that running on total of $200. 

However, the cash-out option will offer you much less than the true value of your bet so far and is actually more likely to be around $100 in this example.

How about a Dutching Alternative?

A slightly more complicated alternative to laying the remaining selection is to 'dutch' all the other outcomes in the event (read more about dutching here). 

This is relatively straightforward if you have backed a team to win a match as there are only two other outcomes (the draw and the loss) but much more complicated if you've backed a horse to win a 20 runner race.

When Should I Cash Out?

As cash out through the sportsbooks offers a convenient but poor value method of ending your bet early it should only be used if you want to 'cash out' but can't do so at better value through dutching the other outcomes.

Cash out is usually used on parlays and a lot of punters include many teams in their wagers with potential returns often in the thousands or tens of thousands. 

A lot of punters don't have the money sitting around to dutch their bet or cover all the other outcomes so they can only use the cash out function or let the bet ride.

The Great Leicester City Cash out fiasco

There is a classic case of when NOT to cash out from the 2015/16 soccer season in England, where many bettors made the wrong decision

Although the stakes were relatively small (£10 or less many) the odds of +500000 were huge. 

Stories of punters cashing out for huge amounts towards the end of the season often hit the headlines and in many cases, those punters who stood to win in the region of £50,000 would have won a lot more by laying their bet off on Betfair. 

However, they would have needed to have tied up around £10,000 to £15,000 on the exchange for a few months and not many had that option so had to accept the cash-out amount.

It might also be impossible to lay/dutch your way out of a bet if several selections are all in play at the same time. 

If you've placed a 5 team parlay on teams that all play at the same time, all the games are going to end at pretty much the same time, you've only 2 options. Cash-out or let it ride.

Important cash out consideration

The most important consideration when deciding whether or not to cash out is to remember that you are effectively backing your bet NOT to win. 

Did Your Bottle go?

Or has your confidence changed in your original bet. Or, are you happy with locking in any profit regardless of the result?

Is your original thought pattern still true?

That's the same bet you originally backed to win. 

And you are most likely backing the bet not to win at worse value than when you backed it. If you are still confident about your bet winning it doesn't make sense to cash out.

If you no longer think the selection will win, perhaps due to some important team news or a going change at a racecourse, then cashing out/laying off is a good option to consider.