Derived from the European games of chemin de fer and punto banco, baccarat is a game of mystery to most of the betting public even though it's a staple of American casinos. With the aid of this information, you can unravel the secrets of baccarat and even learn how to become a winning player. Let's begin with a little history of the game:

Baccarat is the French spelling for the Italian word baccara, or zero, signifying the point values of face cards. The game has been traced to 1490, when the Italian baccara was introduced into France, where it was a favorite of nobles during the reign of King Charles VIII. Baccarat was first offered in Las Vegas in 1959, about a year and half after chemin de fer was introduced. Both games already were flourishing in illegal casinos in the East.

The direct ancestor of baccarat as played in the United States, chemin de fer is similar in play. One major difference is that the customers bet among themselves, rather than against the casino, with the house taking a commission from the customer holding the bank. Chemin de fer was offered in Las Vegas briefly in the 1950s, but it was quickly replaced by baccarat. Today it remains popular in European casinos.

Baccarat Today

Baccarat comes closer than most other casino games to offering the customer an even break, with house edges of just 1.17 percent for a bet on the banker hand and 1.36 percent for a bet on the player hand. Blackjack players who use basic strategy do better; as do video poker players with refined skills. But baccarat is a game with no playing strategies to master. The average baccarat player is at less of a disadvantage than average blackjack or video poker players.

Nevertheless, the game is familiar to only a relative handful of customers. For decades it was kept under wraps, played in lavish high-roller pits for the amusement of millionaires. The lowest minimum bet in the baccarat pit usually was £20, and at that the customer would feel like a piker near the likes of the late Akio Kashiwagi, who once accepted a challenge to a £12 million freeze-out at an Atlantic City casino. With £200,000-maximum bets, Kashiwagi was challenged to play until he'd either lost the £12 million or won £12 million from the casino. Six days later, with Kashiwagi having played 12 hours a day, the challenge was called off, and Kashiwagi left £10 million behind.

In casinos that cater to high rollers, baccarat has long been the game of the "whales" -- the highest of the high rollers. The full-scale version is played in a separate, roped-off area at a table for 14 players, run by three dealers -- none of whom actually deals the cards out of the shoe holding the eight decks. A ceremonial passing of the shoe allows players in turn to slide out the cards. In the related game of chemin de fer, the player holding the shoe banks the bets of the other players, but that's not common in the United States.

In the 1980s, casinos began to reach out to the average customer with mini-baccarat, played on a seven-player, blackjack-sized table on the casino floor with the rest of the table games. It moves faster than baccarat, the shoe-passing ceremony has been eliminated, and the dealer deals all cards, but the rules are the same. Now anyone with £10 for a minimum bet, even £5 in some casinos, can play the game of the whales.

At the full-scale, 14-player baccarat table, one dealer -- the "callman" -- stands up. The callman turns cards faceup after they are dealt by the bettor holding the shoe. The callman is responsible for calling out the point totals of each hand and announcing whether either hand gets another card according to the set hit/stand rules of the game. Two other dealers remain seated on either side of the callman. They are responsible for paying off winning bets and collecting losing wagers. Mini-baccarat has just one dealer, who deals the cards and combines all the responsibilities of the three dealers at the larger table -- but does it much faster.

There are three types of baccarat tables:

Big Table Baccarat is played in a roped off area to separate itself from the other games. The players are usually very well dressed and the table minimums are often high. The regular baccarat table is about the size of a craps table with 3 casino dealers and up to 12 or 14 players. Each player, including the player dealing, may still bet on either the player or the banker but it is customary for the dealer to bet on the banker.

The deal will rotate around the table, much like the dice rotate around the craps table. If a player does not want to deal they may pass the shoe to the next player. The same person will keep dealing as long as the banker keeps winning. The person dealing will put two cards, face down, tucked under the shoe, and give the player with the greatest bet on the player the other two cards, face down. This player then looks at the cards and then gives them back to the player who is dealing. Then the player who is dealing will turn over the cards and one of the casino dealers will announce the totals. Depending on the totals, the dealer may then instruct the person dealing the cards to deal a third card. Finally the dealers will pay winning wagers and collect losing ones out of the dealer's tray. The player who actually deals is not assuming any financial responsibility of the other players bets, unlike pai gow, and is just turning over cards.

Mini baccarat has the same rules are big table baccarat. However, unlike the game at the big table, the dealer turns over all the cards, making for a much faster game. The odds are exactly the same as those of the big table, assuming the same number of decks. Mini baccarat is sometimes dealt from a six-deck shoe, changing the odds slightly. It can usually be found in the main casino areas.

Midi baccarat is the same as mini baccarat, except the size of the table is larger, and it is usually found in the high-limit rooms, as opposed to the main casino floor.

Baccarat is a relatively simple game to bet on. You either bet on the banker winning, the player winning, or the tie.

Usually eight decks of cards are used.

Cards are given point values as follows: Ace = 1, 2-9 = pip value, 10 and face cards = 0.

At the start of a new shoe, the dealer will turn over one card. This will determine how many cards the dealer will burn, according to the baccarat value, except a 10 or face card will result in 10 cards burned.

The cut card will be placed 16 cards from the bottom of the shoe. When the cut card appears, the dealer will finish that hand, play one more hand, and then start a new shoe. If the cut card comes out instead of the first card, the dealer will finish that hand, and then start a new shoe.

Play begins by all players betting either on the "player", "banker", or a tie. At some tables you may also bet on a player pair and banker pair.

After all bets are down, the dealer gives two cards each to the player and the banker. The score of the hand is the right digit of the total of the cards. For example, if the two cards were an 8 and 7, then the total would be 15 and the score would be a 5. The scores will always range from 0 to 9 and it is impossible to bust.

A third card may or may not be dealt to either the player or the dealer depending on the following rules:
If either the player or the banker has a total of an 8 or a 9 they both stand. This rule overrides all other rules.
If the player's total is 5 or less, then the player hits, otherwise the player stands.
If the player stands, then the banker hits on a total of 5 or less.

The score of the player and dealer are compared; the winner is the one that is greater. Winning bets on the banker pay 19 to 20 (even money less a 5% commission), winning bets on the player pay 1 to 1, winning bets on a tie usually pay 8 to 1. In the event of a tie, banker and player bets will push.

On winning banker bets, the player will be paid even money. Meanwhile, the dealer will keep track of the 5% commission owed with small laminated markers. At the end of each shoe, or when a player wants to leave, the dealer will collect all commissions owed.