The emergence legal online sports betting has caused sportsbooks to enhance the user experience.
The ability to wager from anywhere, generous bonuses and promotions and live betting are some of the calling cards of online sportsbooks. But there’s one feature of mobile wagering that doesn’t get enough attention: being able to cash out of a bet early.
Never before has there been a way to settle a bet before its completion. The online platform makes that possible with the push of a button. Whether it’s cutting losses or trying to secure some winnings, cashing out is possible.
The cash-out feature is available at online sportsbooks in Iowa, and it’s a great option to have whether your bet is ahead or behind.
A cash-out offer is a sportsbook’s real-time offering to give a player a portion of the total payout from a bet currently in play. Think of being able to cash out as a settlement that the sportsbook offers; you are agreeing to void the rest of a wager in exchange for a certain amount of money.
The offer to cash out is one of the newer sportsbook features, and accepting is entirely up to the bettor. However, if the bettor does accept, there is no reversing that decision; the rest of the wager is over regardless of how it finishes.
Even though cashing out is the realm of online betting, not every site offers it. Those betting in Iowa should have no trouble cashing out their bets, thanks to some of the most significant names in the industry. Iowans with accounts at FanDuel and DraftKings can regularly access this feature while they wager.
Cashing out can take place at any point throughout the duration of an event. From the time you place a single-game bet, parlay, futures bet or live wager; you could receive an option to cash out at any time.
The offer is usually on the table right away before the event even starts. When the wager hasn’t begun, some sportsbooks will offer an option to cash out for the exact amount of the original stake. In that case, no harm, no foul.
But in the common event of odds changing after the original bet is placed, the settlement that the sportsbook offers is likely to be slightly less than the original risk amount. For this reason, cashing out before a wager begins isn’t advisable unless you feel you made a huge mistake and need to recoup the initial funds.
Once your event begins, the option to cash out will adjust based on the action taking place over the lifespan of the wager. When the result of an event is no longer in doubt or gets extremely close to the end of a game, offers to cash out begin to disappear, so if bettors wait too long, they’re at the mercy of their original wager.
The easiest way to see how to cash out at an online sportsbook is by using a real-life example. Using a previous NHL bet made on FanDuel Sportsbook, we can see that the bettor accepted this cash-out offer for this three-team multi-sport parlay.
The original wager was for $25 with odds of +446, which would pay out $111.50 in profits and $136.50 in total, counting the original stake. In the end, the bettor cashed out for $45.49 in total, for a profit of $20.49.
In this case, the bettor was losing the final leg of the parlay and was no longer confident that the Dallas Stars would win. Rather than risk losing the entire thing or waiting to see if the Stars turned things around, the bettor decided to secure some profits. Since one leg ended in a loss, it turned out to be the correct move.
There are also plenty of occasions, however, when cashing out can be a means of cutting losses and recouping some of the original funds that you wagered. Let’s use another FanDuel example, this time for a futures bet:
A $10 golf wager on Rory McIlroy to win the 2020 CJ Cup would pay out at +1300, which would be $130 in profits.
As the tournament proceeded and McIlroy’s chances of winning became less and less, the cash-out offer dropped, as well. Eventually, the bettor decided to take back 20% of the original bet and cash out for $2 and change when it became clear that the wager wasn’t going to win.
Cashing out to cut losses can be a difficult decision because it goes against your natural inclinations, but you can look at it as a concession to fight another day with those funds.
Cashing out is a result of no longer wanting the wager to be live, and that can be for multiple reasons. A decision to cash out could equal losses, winnings or the cancellation of the wager without any real monetary result either way. It means that, for whatever reason, you are no longer interested in playing out the bet.
Whether you decide to cash your bet out is a personal preference. Each bet is different, and you should take every situation on its own, without regard for any past wagers you’ve placed.
We will say that if you’re not confident in your wager any longer, it’s something to consider. It can be a much harder decision when the wager is still in the balance, but the picture becomes clearer if your bet is either winning or losing.
Have you ever been in a situation where the game you wagered on isn’t close to being over yet, but you have a feeling your side isn’t going to win it for you? So have we.
If things are going poorly for your bet, the cash-out offer will be less than your original stake. This means that accepting it is agreeing to take a loss, but you’re also getting a portion of your money back before it could be entirely gone.
There are also inevitably times where your bet looks great. When this happens, the sportsbook offers are much more generous. What’s being offered will never be your full payout, but in these cases, it’s still a profitable number.
Taking the cash in this spot cuts off some potential winnings in exchange for ending the wager, but it also guarantees at least some profit without the risk of your side losing it for you at the end.
Because the cash-out amount is never quite the full amount that the original bet stood to make, a bettor taking the settlement could miss out on more profits if the bet winds up winning.