Payout Rates - What's It All About?Published July 15, 2004 by OCR Editor
Even though the excitement of the casino can be enticing we strongly recommend you do some background research before you start playing online. That way you will be in a much better position to pick the right one and have a more positive experience when playing.
Online gambling has taken the net by storm. There are so many sites to choose from it can be hard to distinguish between them.
Most sites work pretty much the same way land based casinos do. Just because you are playing with software don't assume the odds are much different than real games at a real venue. In some cases the odds may even be better online than they are at the land based sites. Understand the complete process of betting odds, software regulation, fair gaming and payout percentage rates may seem a little complicated at first but it will definitely pay in the long run to get a good understand of how all this works.
Essentially there are a few top industry players that develop gambling software such as Microgaming and Playtech. These software programs are used at most of the reputable operations, often available as a free download. At the programming stage of the software Random Number Generators are created to randomly select the outcome of each game, be it slots, roulette, poker or blackjack. These RNGs work on a series of complex algorithms that essential recreate the same outcome you would get by manually spinning a roulette wheel at a casino.
When the gaming site displays a numeric payout percentage they are referring to the amount of money that has been paid out to winning customers. A payout percentage of 97% means that 97% of all money that has come into the casino is being paid out to winning customers. In other words the house makes a 3% profit. Obviously then it's in your best interest to look for casinos with high payout rates, but it doesn't stop there.
Perhaps the most important aspects when it comes to gambling are honesty and trust. Just because a casino claims to have fair gaming software or a payout rate of 98% doesn't means it's true. How then can you be sure? Check for certificates on the website. The certificates have been issued by 3rd party auditing firms such as OPA and PricewaterhouseCoopers - very reputable businesses with well respected names. Casinos that display these verification certificate have allow these 3rd party companies to check the software to make sure that the RNG is indeed working properly and fairly and that the payout rate the casino displays is also accurate.
The sign of an honest operation is primarily these certificates which are usually updated once a month and also a payout rate that fluctuates from time to time is really random then that should be reflected in varying payout percentages. A site that boasts a 99% payout rate month after month may look attractive but may not be completely accurate. Our advice is to pay close attention to all the procedures we have outlined in order to have a fair, enjoyable and successful time.