Here is how you get your free bet from Betfair

1) Sign up with Betfair by clicking this link and follow the 'join now' link from the home page

2) Enter 'CUP234' in the 'Refer a friend code / promotion reference' box

3) Register a valid debit or credit card to make deposits (min £10) and withdraw your winnings

4) Bet at least £25 in one bet or a series of bets within 14 days of joining. You'll receive your free £25 within 24hrs of your bet(s) being settled, win or lose

Betfair was established in 1999. Over these last five years it has emerged as the world's largest betting exchange.The company is headquartered in London and operates under the Betting, Gaming and Lotteries Act 1963 and holds a bookmaker's permit in England and Wales. Betfair offers person to person betting on an enormous range of popular sports and other events.

All bets on Betfair,com have been placed there by users who either want to have a bet in the normal way (back a bet), or offer odds to other punters (lay a bet).  Bets are matched between people with opposing views.

The advantage of this is that you can you can bet that an outcome will happen ("back") or that it won't happen ("lay"); you can choose the odds you want to play at, and you can bet whilst the game is in play.

By cutting out the bookie odds are on average 20% lower than on other sites.  Since only other punters are involved there are no bookmakers trying to protect their margin. This distinct competitive edge has drawn punters in large numbers to bet against each other.

Because Betfair is a platform it offers an enormous selection of markets covering all major sports betting events. Liquidity in the markets is great (log in and click on the "Where is the Money" tab on the lower right hand corner to see how much money is being matched.)

Another advantage is that commission levels are based on your net winnings per market, not on every bet, so if your bets are at a net loss you do not pay commission.

When you start betting on betfair.co.uk you will notice that there active and lively betting message boards that are great for asking questions and learning about exchange betting and for getting betting tips.  Registered online customers also have the choice to place their bets online or by a telephone call.

Betfair is not a conventional bookmaker and the concepts involved take a few minutes to grasp, however, once you understand how Betfair works we are sure that you will want to use it.

Users benefit from a range of advantages: Odds are better, so for the same stake you could win money than with a traditional bookmaker. You can hedge bets or limit losses by switching from laying to backing a bet and vice versa.

Although you have to deposit £25 to get going, you can place bets for as little as £2, which means that you can learn how the platform works at low cost.

We recommend that you check out Betfair even if you are not a sophisticated punter as in the long run it could save you money!