Whether you bet on sports or other events, you have to understand betting odds. The more you know about these, the better you can bet. There are three basic types of betting odds, including money line (American), decimal (European), and fractional (British).

Money line is a wager in which the bettor lays his money down. This is a good way to get a higher payout than if you placed the bets independently. It also requires that the chosen team wins the game outright.

If the selected team wins, the bettor wins the money. If the bet loses, the bettor loses the entire amount of his bet. A money line is used in pro football, basketball, and baseball. The betting odds for totals (over/under) reflect the combined score of both teams.

Points spreads are a type of wager that involves a margin of points that a favored team must beat to “cover the spread.” The sportsbook will set a point spread for each game. This is usually offered at 11 to 10 odds. If a team is favored, the sportsbook will give the bettor the lower odds. If the team is underdog, the bettor will receive the higher odds.

A parlay is a wager that includes two or more bets. It is more difficult to win than a single bet, but it pays more. The payout for a parlay will vary based on the number of bets included and the price of the bets. It also has a higher payout if all of the bets in the parlay win.