There was some great news for Betfair exchange customers recently with the announcement that you can get just 2% commission on your winnings – down from the 5% it has been up until now.
This represents a huge discount and for those who trade regularly on the exchange, could represent hundreds or even thousands of pounds saved in commission fees over the course of a year.
Why exactly Betfair have chosen this course of action after having the basic 5% rate of commission on winnings since the inception of the exchange way back in 1999 is unclear, but it may be due to increased competition from the likes of Smarkets, who offer 2% commission.
How to Get the 2% Rate of Commission
You can opt for the 2% commission rate by going to “My account” and then going to “My Betfair Rewards” and then choosing which plan you wish to opt for.
If you want the 2% commission rate, then you need to choose the “Basic Plan,” although please bear in mind that this plan also means:-
– No Access to the Cash Race– No Best Odds Guaranteed on the Betfair Sportsbook– No Access to Promos
So if you are an infrequent trader on the Betfair exchange but benefit from BOG on your sportsbook bets and take advantage of lots of promos and bonuses, then you may be better off going for one of the other plans.
Other Plans Available
Let’s take a look at the other plans and what they offer:
First up is the “Rewards Plus,” which includes:
- – 10% Refund on Losses
- – If you make a net loss in a calendar month, Betfair will refund you 10% on the first working day of the following month (T&C’s Apply).
- – £10 Free Acca Every Month
- – A free bet to use on accumulators every month (T&C’s Apply).
- – 25 Free Spins Every Month
- – Free spins to use on Age of Gods every month (T&C’s Apply).
- – Cash Race – Extra Prizes
- – 2 free play(s) on Beat The Drop where you could win up to £32,000.
- – BUT you will pay 8% Commission on net winnings in Exchange markets (T&C’s Apply).
So this would be the best option if you rarely place any bets on the Betfair exchange but like the idea of free accas, bets and spins. In reality you should only choose this option if the net commission you are currently paying is say less than £100 per month, because you will need to more than make up in bonuses and free bets what you are losing in having to pay an 8% commission rate versus the 2% available with the Basic Plan.
Finally the other option available is the “Rewards” package. This is more akin to what has existed up until now and includes:-
– £5 Free Acca Every Month– 10 Free Spins Every Month– Cash Race Access– 1 Free Play(s) on Beat The Drop– 5% Commission
So that’s the 5% rate of commission plus some bonuses to enjoy each month. This package is probably suitable if you do some exchange betting but not enough for a drop to 2% commission to make a difference to you.
Here the plans in summary form:
Which Plan Should You Go For?
In reality we suspect most people will either opt for the Basic or Rewards+ packages. If you are a regular exchange user than really it’s a no-brainer to use the Basic Plan and pay just 2% commission – that is certainly what we are doing and already reaping the benefits.
If you rarely use the exchange but do use the Sportsbook quite a bit then the Rewards+ is probably the best option as you get lots of bonuses and the increased commission rate to 8% would affect you less if you hardly place any bets on the exchange (e.g. less than £100 per month).
It’s really up to each individual to decide which package is best for them. We suggest having a look at your betting history for the last six months to a year and see how much you have been betting on the exchange and how much commission you have been paying, which should help you work out which package is best for you.
Anyway, there you have it – in summary we think these new changes from Betfair are very welcome and let’s hope they are here to stay.