An interview with Nico from Bonus Bank about matched betting. What is matched betting, what is his experience with it and how can people make money from this lucrative side hustle?
Introduction
Matched Betting can be a very lucrative side hustle and I have made some decent coin doing this in the past too. Here I interview Nico from Bonus bank and he answered some of my hard questions, as well as shared some helpful info on how other people can make money from matched betting. Read on for the full interview..
An interview with Bonus Bank
I had the please of chatting to Nico and Dave from Bonus Bank about their Experience with Matched betting, and was able to interview Nico about his experiences. Nic had the following to say;
How did you discover matched betting?
Completely by chance. I was working for a charity doing financial education work and used the moneysavingexpert.com website for a lot of information and resources. Within the forums of that site was a sub-forum called Gambling Introductory Offers & Loopholes, and that was where I first read about the concept of matched betting.
Put simply, how does matched betting work?
In its purest form, matched betting is a type of arbitrage. It exists because bookmakers give away free bets in order to encourage punters to bet with them. As matched bettors, we collect these free bets – which cost us nothing – and then go to a betting exchange where we can sell them for 70-80% of their face value. In practice there are a couple of other steps involved, but the basic concept can be broken down into 1. Collect free bets from the bookies; 2. Turn them into cash at the exchange.
How much have you made from matched betting?
I’d rather not give an exact amount, but it is comfortably into six figures.
How many hours would you put into matched betting, and can you estimate an hourly dollar figure you would be able to make doing it?
This really comes down to the individual. We have members who treat matched betting as a full-time job, and others who spend just a couple of hours per week. If you were looking to maximise your hourly rate (as opposed to total profits) you could spend 4-5 hours on a Saturday taking advantage of any available promos on horse racing, AFL, & NRL, and expect to make $60-80p/h assuming you had a good grasp of the basic concepts. Experienced matched bettors will make $100+p/h during this period. The optimum amount of time to spend is probably around 8-10 hours per week. This will allow you to take advantage of mid-week opportunities as well, which will increase your overall profit, but reduce your hourly rate.
How has matched betting contributed towards you becoming financially independent?
I haven’t had a regular full-time job since 2010. In fact, matched betting allowed me to flip FIRE around and do the RE part first. Between 2010 and 2014 I lived in Latin America and the Caribbean and was able to support my lifestyle through casual matched betting and the occasional DJ gig. Since 2016, in addition to my own betting I have been focused on developing Bonusbank, so it’s not really an early retirement anymore, but I have still been able to travel and live around the world thanks to the flexibility that matched betting gives me.
What are some of the risks or downsides of matched betting?
The biggest risk is that someone veers away from matched betting and becomes a problem gambler. Matched betting is risk-free if you stick within the defined principles, but gambling addiction is a real thing, and bookmaker websites are designed to exploit that. We strongly recommend that anyone with a history of addiction stay away from matched betting. Another downside is that the best profits come on a Saturday afternoon, so it can take over your weekend. Our members would say that the returns are worth it though, and if you have a choice between matched betting or some other Saturday job then it really is a no-brainer.
If you think you have a problem with gambling, you can head to GamblingHelpOnline.org.au.
What are your top three tips when it comes to matched betting?
Patience, patience, patience. New matched bettors can get over-excited when they realise the potential profits that are available, and they rush into things that they’re not ready for. Having a strong understanding of the basics is essential if you don’t want to make mistakes. We recommend learning one strategy at a time and practicing it until you master it before moving on to the next one. The top two other tips would be: Join the Bonusbank Discord server and learn from the experienced members there. There is always someone online who is happy to answer questions from newbies. When you are ready to start horse racing promos, buy an extra monitor. Having two screens makes a huge difference.
How did you start Bonusbank and teaching people about matched betting?
Bonusbank started after I spent time in Australia and realised that, despite matched betting being more profitable there than in the UK, there was no dedicated matched betting service available for Aussies. All of the tutorials, tools, and software that make it easier for people to make money were missing, so we decided to create them.
Where can people learn more about matched betting?
Free tutorials that teach anyone the basics of matched betting are available via the Bonusbank website or app. We also have a Facebook group that is free to join.
How do you choose to invest your money?
I bought a property when I was 22. Initially, I lived in it myself, but for the last 10 years, it has been a rental property. For a long time, I focused any extra income towards overpaying the mortgage, so it is now almost completely paid off, but since learning more about FIRE over the last couple of years, I have invested more in ETFs. The bulk of my investments are in tech stocks (NDQ & FANG).
What are your top three tips when it comes to becoming financially independent?
Start young if you can (although it’s never too late). Compound interest is your friend. Find a way to take advantage of geo-arbitrage. I earn money in Australia but live mostly in Nicaragua, so I’m able to save a high percentage of my income. It doesn’t need to be that extreme though. Just moving out of the city can make a huge difference. In these times of work-from-home, geo-arbitrage is easier than ever. Find a side hustle and use the profits to invest. You can invest in shares, invest in growing your side hustle, or invest in your own education. Turn today’s profits into even more tomorrow.
What are your favourite three books on personal finance, investing and self development?
The book that really changed my life was ‘The 4-Hour Work Week’ by Tim Ferriss. It made me believe that a life outside of the standard 9-5 was possible. Not long after reading it, I quit my job and bought a one-way ticket to Argentina, and I haven’t looked back since. I would also recommend ‘Tools of Titans’ by the same author. I haven’t read many investment books as I am quite happy sticking to index funds, but I did enjoy ‘Reminiscences of a Stock Operator’ by Edwin Lefèvre.
Summary
Thanks for your time Nico! You can check out my full Bonus Bank review on the blog HERE, as well as my article on Matched Betting as a side hustle, and my dedicated Podcast on Matched Betting as well.
Captain FI is a Retired Pilot who lives in Adelaide, South Australia. He is passionate about Financial Independence and writes about Personal Finance and his journey to reach FI at 29, allowing him to retire at 30.
