How Promo Credits Work in the US
"Bet $5, Get $150 in Bonus Bets." You see these ads on every NFL broadcast and plastered across every sports website. But how do DraftKings, FanDuel, and BetMGM actually structure these credits? In this US-specific module, we break down the mechanics of the Stake Not Returned (SNR) payout structure, how different books handle splitting bonuses, and the optimal strategy for extracting real cash dollars from digital promo credits.
The "Bet $5 Get $150" Illusion
When a new state legalizes sports betting, operators flood the market with aggressive acquisition offers. The most common format is the "Bet/Get" (e.g., Bet $5, Get $150 in Bonus Bets). It's crucial to understand that $150 in Bonus Bets is not equal to $150 in cash.
A "Bonus Bet" or "Site Credit" is essentially a voucher. It has zero intrinsic cash value. You cannot withdraw it to your bank account. Its only purpose is to act as a placeholder for a wager. If that wager wins, the resulting cash is yours. If it loses, the voucher disappears. Because of this, the actual cash value of $150 in Bonus Bets is mathematically determined by how you use them.
Stake Not Returned (SNR) Explained
Unlike standard cash bets, almost all US promo credits operate on a Stake Not Returned (SNR) basis. This single rule completely alters how you should approach betting with them.
$200 Total Return
When you bet with real cash, winning returns your original $100 stake plus your $100 profit.
$100 Total Return
When you use a Bonus Bet, the $100 "stake" is consumed. You are only paid the $100 profit. The initial token vanishes.
Because the stake is not returned, using a Bonus Bet on a heavy favorite is mathematical suicide. Consider playing a $100 Bonus Bet on a -500 (1.20) favorite. If it wins, you receive $20 in profit. You've essentially converted $100 of promo credit into just $20 of real cash — an abysmal 20% conversion rate.
To maximize the value of an SNR free bet, you must use it on underdogs. The mathematical sweet spot for US Bonus Bets is typically between +300 (4.00) and +500 (6.00), which allows you to convert the bonus into cash at roughly a 70% rate.
Splitting Credits: FanDuel vs. DraftKings
Not all sportsbooks distribute their "Get $150" the same way. The flexibility of how you can deploy your bonus credits dictates how safely you can extract cash from them.
DraftKings & BetMGM (Rigid Blocks)
If DraftKings gives you $150 in Bonus Bets, they typically issue them as six individual $25 tokens. You cannot break them down. If you want to place a $10 bet, you can't — you must use a full $25 token. This forces you to navigate higher variance since your bets must be placed in larger, unalterable chunks.
FanDuel (Liquid Credit)
FanDuel is the gold standard for usability. If they issue you $150 in Bonus Bets, it functions as a single liquid wallet. If you want to place a $3.12 bet on a prop, you can toggle the "Use Bonus Funds" switch, and $3.12 will be deducted from your $150 balance. This allows for precise bankroll management and complex hedging.
The 1x Playthrough Advantage
While the UK and Europe often saddle their deposit bonuses with aggressive wagering requirements (e.g., 5x or 10x rollover), the heavily regulated US market is significantly more player-friendly.
Almost universally across regulated US sportsbooks (NJ, NY, PA, MI, OH, etc.), Bonus Bets carry a strict 1x Playthrough Requirement. This means you only have to bet the Bonus Credit one single time. Whatever cash winnings result from that one bet are instantly real, withdrawable dollars with no further strings attached.
The Optimal US Extraction Strategy
If you don't use betting exchanges (which are currently extremely scarce in the US), how do you extract value from a $150 bonus offer? You use Dutching (covered theoretically in Lesson 2) across two different US sportsbooks.
The Playbook:
- Wait until a weekend with a heavy slate of NFL, NBA, or MLB games.
- Find a market with highly competitive odds between two sportsbooks (e.g., DraftKings and Caesars). Look for an underdog priced around +350 (4.50) on DraftKings, and the opposite side priced tightly on Caesars.
- Place your $150 Bonus Bet on the +350 underdog on DraftKings.
- Use our Free Bet Calculator to find out exactly how much real cash to place on the favorite at Caesars.
- Result: Because the Bonus Bet was used on a high-odds underdog, the payout covers the cost of your hedge bet on the favorite. You guarantee yourself roughly $100 to $110 in real cash regardless of which team actually wins the game.
Now that you understand how basic Bonus Bets work, it's time to tackle the other massive pillar of US sportsbook marketing: the "No-Sweat" or "Second Chance" bet. These operate on entirely different mathematical principles.
Next: No-Sweat & Second Chance Offers →