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Can Sportsbooks Ban You for Winning? Your Legal Rights (2026)

Juanse BritoJuanse Brito·7 min read·
educationstrategyregulation
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The Short Answer

Sportsbooks can and do limit or close accounts of winning bettors. This is legal in most jurisdictions because sportsbooks are private businesses that can choose their customers.

However, they generally cannot withhold legitimately won funds. If you won fairly, they must pay.

Why Sportsbooks Limit Winners

Sportsbooks are businesses. Their model relies on taking bets from recreational bettors (who lose long-term), balancing action to minimize risk, and earning the vig/juice on both sides.

When you consistently beat the closing line, you're costing them money. From their perspective, you're not a customer—you're a liability. Their logic: "We're not obligated to lose money to you."

What Sportsbooks Can Legally Do

In most jurisdictions, sportsbooks CAN:

  • Limit your stakes — Reduce max bet from $1,000 to $10
  • Restrict markets — Block you from player props, alt lines, etc.
  • Delay bet acceptance — Make you wait 30+ seconds for approval
  • Close your account — End the relationship entirely
  • Refuse new signups — Deny you an account in the first place

This isn't illegal discrimination—it's a business choosing its customers, like a casino banning card counters.

What Sportsbooks Cannot Do

Sportsbooks generally CANNOT:

  • Withhold legitimate winnings — If you won fairly, they must pay
  • Void bets retroactively — Unless clear error, fraud, or ToS violation
  • Keep your deposits — Your money is yours
  • Ignore regulator rulings — They must comply with disputes you win

Regional Differences

United States

Rights vary significantly by state:

StateBettor Protections
New JerseyStrong; must honor bets, clear dispute process
NevadaCasino-friendly; broad discretion to limit
PennsylvaniaModerate protections
Most statesSportsbook-favorable, limited recourse

Check your state gaming commission's website for specific regulations. Some states require sportsbooks to provide reasons for limitations.

United Kingdom

The UK has the strongest bettor protections globally:

  • Gambling Commission regulates disputes
  • Books must provide clear reasons for restrictions
  • Can't limit accounts arbitrarily without justification
  • ADR (Alternative Dispute Resolution) available
  • IBAS handles complaints

UK bookmakers face regulatory pressure to treat customers fairly. While they can still limit, they must explain decisions when asked, honor legitimate winnings, follow Gambling Commission guidelines, and submit to independent dispute resolution.

Australia

Bookmakers have wide latitude to limit. However:

  • Licensed books must pay legitimate winnings
  • Racing Victoria has minimum bet rules
  • State regulators handle complaints

Spain

Unique Protection: Forced Account Reopening

Spain has some of the strongest bettor protections in the world. Under Spanish gambling law (DGOJ regulations):

  • Sportsbooks cannot permanently close accounts of winning bettors without valid legal reason
  • Bettors have successfully forced books to reopen limited accounts through regulatory complaints
  • The DGOJ (Dirección General de Ordenación del Juego) actively enforces these protections
  • Books must demonstrate legitimate reasons (fraud, bonus abuse) to justify account restrictions

This makes Spain unique—winning alone is not sufficient grounds to ban a customer.

Europe (Other Countries)

Varies by country. Malta Gaming Authority (MGA) licensed books generally must:

  • Pay legitimate winnings
  • Provide dispute resolution
  • Follow MGA player protection rules

The Limitation Process

How accounts typically get flagged:

  1. Beating closing line value (CLV) — Your bets are sharp
  2. Betting steam moves — Taking advantage of line movement
  3. Arbing patterns — Opposite bets at different books
  4. Prop bet specialization — Crushing weak prop markets
  5. Large, consistent wins — Positive ROI over time
  6. Bet timing — Betting right when lines open

Stages of Account Limitation

Stage 1: Soft Limits — Max bets reduced (e.g., $1,000 → $250), may only apply to certain markets.

Stage 2: Heavy Limits — Max bets reduced further ($250 → $25), more markets restricted.

Stage 3: Full Restriction — Max bet at minimum ($10 or less), limited to main markets only, bet acceptance delayed.

Stage 4: Account Closure — Told to withdraw balance, account closed permanently.

How to Handle Limitations

If You're Limited

  1. Don't panic — Your money is safe
  2. Withdraw promptly — Get your balance out
  3. Document everything — Screenshots of limits, communications
  4. Don't beg — Customer service can't reverse it
  5. Move on — Focus on books that still take your action

If Winnings Are Withheld

  1. Contact support — Get written explanation
  2. Review ToS — Did you actually violate anything?
  3. File complaint — State gaming commission or gambling regulator
  4. Gather evidence — Bet history, account statements, communications
  5. Consider legal action — For significant amounts

Your Rights in a Dispute

If a sportsbook refuses to pay:

Strong cases for you:

  • Bet placed at displayed odds
  • No bonus abuse or fraud
  • No palpable error (obvious pricing mistake)
  • Clear bet acceptance confirmation

Weak cases for you:

  • Exploited obvious pricing error
  • Violated specific ToS provisions
  • Used multiple accounts
  • Coordinated with others (syndicate betting)

Palpable Errors: Sportsbooks CAN void bets for obvious errors (e.g., odds of +5000 when it should be -500). But they must prove the error was genuinely obvious, not just "we made a bad line."

Protecting Yourself

  1. Use regulated books — Licensed operators have oversight
  2. Withdraw regularly — Don't leave large balances sitting
  3. Keep records — Document all bets and transactions
  4. Diversify books — Don't rely on one sportsbook
  5. Know your regulator — Understand the complaint process

The Ethical Question

Sportsbooks argue: "We're a business. We can choose our customers."

Bettors argue: "You advertise 'bet with us' then ban people who win."

The reality: Both sides have a point. Sportsbooks need recreational bettors to survive. But advertising welcome bonuses then limiting winners feels dishonest.

What's changing: UK regulators are pushing for fairer treatment. Spain already requires books to justify limitations and has forced account reopenings. Some US states may follow.

What Winning Bettors Do

Experienced sharp bettors:

  1. Accept limitations as inevitable — Part of the game
  2. Maximize accounts while they last — Extract value quickly
  3. Use friends/family cautiously — Multi-accounting risks exist
  4. Focus on slow-to-limit books — Some books tolerate winners longer
  5. Bet offshore — Books like Pinnacle don't limit
  6. Move to exchanges — Betfair, Matchbook, Smarkets

Books Known for Limiting Quickly

  • Most US sportsbooks (DraftKings, FanDuel, BetMGM)
  • UK high street bookmakers (Ladbrokes, William Hill, Coral)
  • Bet365 (notorious for limits)
  • Most soft books worldwide

Books Known for Tolerating Winners

  • Pinnacle — Explicitly welcomes winners
  • Bookmaker.eu — High limits, slow to restrict
  • Circa Sports — Highest limits in US
  • Betting exchanges — You bet against other users, not the house

The Bottom Line

Can they limit you? Yes, legally.

Can they ban you? Yes, they can close your account.

Can they keep your money? No, not if you won legitimately.

Is it fair? Debatable, but it's the reality.

What can you do? Diversify, withdraw often, and focus on sharp-friendly books.


This article is for informational purposes only. Consult a legal professional for advice specific to your situation and jurisdiction.


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Juanse Brito
Juanse BritoCEO & Co-Founder at Bet Hero

Juan Sebastian Brito is the CEO and Co-Founder of Bet Hero, a sports betting analytics platform used by thousands of bettors to find +EV opportunities and arbitrage. With a background in software engineering and computer science from FIB (Universitat Politècnica de Catalunya), he built Bet Hero to bring data-driven, mathematically-proven betting strategies to the mainstream. His work focuses on probability theory, real-time odds analysis, and building tools that give bettors a quantifiable edge.

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