Walk into most casinos and ask for a baccarat table, and you’ll get directed to what’s technically called punto banco. Ask what the difference is, and most dealers won’t even know there is one.
This confusion is everywhere. Players think they’re playing “baccarat” when they’re actually playing a simplified version that removed most of the interesting decisions. Even casino marketing uses the terms interchangeably.
So what’s actually going on here?
The Short Answer
Punto banco is a specific variant of baccarat where the dealing and drawing rules are completely fixed. Players have zero decisions beyond choosing which bet to make.
Traditional baccarat (sometimes called “chemin de fer” or just “baccarat”) gives players actual choices about whether to draw a third card, and one player acts as the banker, competing against other players.
Most people have never played traditional baccarat. What you see in casinos—online and offline—is almost always punto banco. But everyone calls it baccarat anyway because that’s the more recognizable name.
How Punto Banco Actually Works
Punto banco is dead simple, which is why it’s the standard version now.
Two hands are dealt: the “player” hand (punto) and the “banker” hand (banco). You bet on which one will win, or bet on a tie.
The dealing rules are automatic:
- Both hands start with two cards
- If either hand totals 8 or 9, it’s called a “natural” and no more cards are dealt
- If both hands total 6 or 7, no more cards are dealt
- Otherwise, drawing rules determine if a third card gets dealt to each hand
These drawing rules are fixed and complex. The player hand draws first based on its total. Then the banker hand draws based on both its own total and what card the player drew (if any).
You don’t make any of these decisions. The dealer follows the rules mechanically. Your only choice was which bet to place before the cards came out.
The payouts:
- Bet on player, it wins: 1:1 (even money)
- Bet on banker, it wins: 0.95:1 (even money minus 5% commission)
- Bet on tie: Usually 8:1 or 9:1
The banker bet has slightly better odds because the drawing rules favor the banker hand slightly. That’s why casinos charge commission on banker wins—otherwise, everyone would bet banker every time and the casino’s edge would disappear.
How Traditional Baccarat Works
Traditional baccarat is more involved. The game rotates who acts as the banker, and that player competes against the other players at the table.
Key differences:
Players make decisions. After seeing their first two cards, players can choose whether to draw a third card or stand. The banker makes the same choice after seeing what the players did. There’s actual strategy involved.
The banker role rotates. One player acts as the banker for each hand, putting up money to cover all the player bets. Other players bet against the banker. After each hand (or after the banker loses), the role passes to the next player.
Players bank with their own money. When you’re the banker, you’re using your chips to cover other players’ bets. If they win, you pay them from your stack. If they lose, you collect their bets. The casino takes a commission but doesn’t risk its own money on the outcome.
This creates social dynamics that don’t exist in punto banco. You’re competing directly against other players. Being the banker is a privilege—you get the mathematical edge—but it also requires a bigger bankroll since you’re covering everyone’s bets.
Why Punto Banco Replaced Traditional Baccarat
Casinos prefer punto banco for obvious reasons.
It’s faster. No waiting for players to make decisions. The dealer just follows the fixed rules and moves to the next hand. More hands per hour means more revenue for the casino.
It’s easier to understand. New players don’t need to learn drawing strategy. They just bet and watch. Lower barrier to entry means more casual players.
The casino always banks. In traditional baccarat, when players act as banker, the casino only earns a commission. In punto banco, the casino is always the house, taking the edge on every hand.
No disputes. In traditional baccarat, arguments can break out over whether a player made the right decision to draw or stand. In punto banco, the rules are fixed, so there’s nothing to argue about.
From the casino’s perspective, punto banco is just better business. It’s more accessible, more profitable, and requires less skilled dealers.
The Chemin de Fer Variant
When people talk about “traditional baccarat,” they’re usually referring to chemin de fer, which is French for “railway.” This was the most popular version in European casinos before punto banco took over.
In chemin de fer:
- Six decks are used and placed in a shoe (the “railway” that moves around the table)
- The banker role rotates among players
- The banker faces all other players collectively—it’s banker vs. everyone else
- Players can choose to draw or stand on totals of 5 or less
- The banker makes similar decisions after seeing player actions
This version still exists in some high-end European casinos, but it’s rare. You need a table of knowledgeable players who understand the strategy, and you need enough bankroll to take the banker position when it’s your turn.
Most players will never encounter chemin de fer. It’s effectively a historical curiosity at this point.
Baccarat Banque – Another Variant
There’s also baccarat banque, which is even less common.
In this version:
- The banker position is auctioned at the start, going to whoever is willing to put up the most money
- That player remains banker for the entire shoe (until all cards are dealt)
- The table is split into two halves, and two player hands are dealt against the banker
- Players on each side bet on their respective hand
This version appears in some old James Bond films, which is probably the only place modern players have seen it. It’s almost extinct in real casinos.
What You’re Actually Playing Online
Every online casino offers “baccarat.” What they mean is punto banco.
The game is dealt by either RNG software or a live dealer, but the rules are punto banco rules. Fixed drawing procedures, no player decisions except which bet to place.
Some live dealer providers (Evolution Gaming, Playtech, Pragmatic Play) have added variations:
- Speed baccarat (faster dealing)
- Squeeze baccarat (dramatic card reveals)
- No commission baccarat (altered payouts to eliminate the banker commission)
- Lightning baccarat (random multipliers on certain rounds)
But these are all still punto banco at their core. They’ve just added presentation flourishes or payout modifications. The fundamental game—automatic drawing rules, no player decisions—remains the same.
If you want to play actual traditional baccarat online, you can’t. It doesn’t exist in online casinos because the player-banker dynamic doesn’t translate to the online format. You’d need multiple players willing to take the banker role and risk their money against each other, which creates regulatory and practical problems.
Does the Difference Actually Matter?
For most players, no.
If you’re playing casually at a casino—online or land-based—you’re playing punto banco regardless of what the table says. The strategy is simple: bet banker (it has the lowest house edge at about 1.06%), avoid the tie bet (house edge around 14%), and that’s it.
There are no decisions to make, no strategy to learn beyond choosing which bet to place. The game plays itself.
The difference matters if:
You’re interested in gambling history. Understanding that “baccarat” used to be a more complex game with actual decisions gives context to why high rollers loved it. It wasn’t just random chance—there was skill involved.
You encounter traditional baccarat in a high-stakes room. Some luxury casinos still offer chemin de fer in private rooms for whales. If you somehow end up in one of these games, you need to know the actual rules and strategy, which differ from punto banco.
You’re arguing with someone on the internet. People get weirdly passionate about this distinction. Now you know the facts.
Otherwise? Just call it baccarat like everyone else and don’t worry about it.
The Strategy Difference
Since punto banco gives you no decisions beyond which bet to place, there’s no complex strategy. You’re just choosing between three bets:
Banker bet: 1.06% house edge (accounting for commission). This is the best bet mathematically.
Player bet: 1.24% house edge. Slightly worse than banker, but still one of the better bets in the casino.
Tie bet: 14.36% house edge at 8:1 payout. Terrible bet, avoid it.
That’s the entire strategy for punto banco. Bet banker, maybe occasionally bet player if you’re superstitious or bored. Never bet tie unless you hate money.
In traditional baccarat, there’s actual strategy around when to draw the third card based on your total and what you think the banker has. But since you’ll never play traditional baccarat, this strategy is irrelevant.
The House Edge Comparison
This is where punto banco shines compared to other casino games.
At 1.06% house edge on the banker bet, punto banco is one of the better games in the casino. Compare that to:
- Roulette (American): 5.26% house edge
- Slots: Usually 4-10% house edge
- Keno: Often 25-30% house edge
- Most side bets: 5-15% house edge
Only blackjack with basic strategy (around 0.5% house edge) and certain video poker variants beat punto banco mathematically.
This is why high rollers like the game. When you’re betting $10,000 per hand, that house edge difference matters. You want the best odds possible, and punto banco delivers.
Traditional baccarat had similar house edge on the banker position, but the player decisions introduced variance. You could make mistakes. With punto banco, you can’t make mistakes (beyond betting on tie), so the house edge is consistent.
Where to Play Each Version
Punto banco: Literally everywhere. Every online casino, every land-based casino, every live dealer platform. It’s labeled as “baccarat” but it’s punto banco. If you’re looking at different casinos to compare game selection and table limits, sites like casinowhizz.com review which operators have the best baccarat (punto banco) offerings and what the minimum bets are.
Traditional baccarat/chemin de fer: Rare. Some high-end casinos in Monte Carlo, Macau, or Vegas might offer it in private gaming rooms. You need to know people and have serious bankroll. This isn’t something you stumble into.
Baccarat banque: Effectively extinct. Maybe exists in one or two places as a novelty, but you’re not going to find it.
The Terminology Confusion
Part of why this is confusing is that the industry itself is inconsistent with terminology.
“Baccarat” is used as an umbrella term for the entire family of games. It’s also used specifically to mean chemin de fer in some contexts. And it’s used to label punto banco in most casinos.
“Punto banco” is technically the correct name for what everyone plays, but casinos don’t use it because it’s less recognizable. Marketing departments prefer “baccarat” because it sounds more elegant and has James Bond associations.
“Chemin de fer” specifically refers to the traditional version where players act as banker.
“Baccarat banque” is the auction-based variant.
In practice, if someone says “baccarat” without qualification, they mean punto banco. If they mean traditional baccarat, they’ll usually say “chemin de fer” to be specific.
Why High Rollers Play It
Baccarat (punto banco) is the game of choice for high rollers. You’ll see players betting $50,000, $100,000, even more per hand.
Why?
Low house edge. At 1.06%, it’s one of the best bets available.
High table limits. Baccarat tables often have limits of $500,000 or more per hand. Other games cap out much lower.
Simple gameplay. When you’re betting life-changing amounts, you don’t want to make complex decisions under pressure. Punto banco is just “pick a bet and watch.”
Fast pace. High rollers want to move big volume. Baccarat deals quickly, so they can play many hands per hour.
Cultural factors. In Asian gambling culture specifically, baccarat is the prestige game. It’s tradition at this point.
The game’s simplicity is actually a feature for this crowd, not a bug. They’re not there for strategy—they’re there to bet big on near-50/50 outcomes and let variance do its thing.
The Bottom Line
Baccarat and punto banco are technically different games, but for 99% of players, the distinction doesn’t matter because you’re only ever going to encounter punto banco.
The version you play online, the version at your local casino, the version in Vegas or Macau—it’s all punto banco. Fixed rules, no decisions except which bet to place, low house edge.
Traditional baccarat with player decisions and rotating banker positions is mostly extinct. It exists in gambling history and occasionally in ultra-high-end private rooms, but you’ll never stumble across it accidentally.
So when someone talks about playing baccarat, they mean punto banco. When a casino advertises baccarat tables, it’s punto banco. When you see baccarat in a movie, it’s probably punto banco (unless it’s an old James Bond film).
Just bet banker, avoid the tie, and enjoy one of the lowest house edges in the casino. That’s the entire game.
