Class II vs. Class III Video Poker – SCCG Management

Editorial Staff | Posted on May 27, 2025 |

Essential Insights Before You Play

By Jerry “Stickman” Stich

Strictly Slots magazine often addresses questions about slot play. Recently, a reader asked about the classification of slot machines, specifically in video poker. Below is the inquiry and insights from our gaming expert.

“Can you explain the difference between Class II and Class III video poker machines?” Thanks, Larry C.

Many people are confused about the differences between Class II and III video poker games.

Class III games, typically found in Las Vegas, involve playing against the casino with outcomes determined by a random number generator, weighing payoffs against hitting odds.

Class II games are bingo-style, where players compete against each other. These are like video lottery terminals, with wins determined by a central server. Class III games don’t use a bingo board, as each play is independent.

Key differences between the classes include:

House Edge: In Class III games, house edge is calculable based on random results and hand odds. This isn’t possible for Class II games, where the server decides outcomes.

Skill Required: Class III results depend on random draws, so players need to choose cards wisely to maximize returns. Class II needs no skill, as server decisions dictate wins. Features like the “angel feature” can alter hands magically.

Historical Context: Class II is mostly in Indian casinos, dating back to 1979 with the Seminole Indians in Florida. The 1988 Indian Gaming Regulatory Act allowed Class II without state interference but required compacts for Class III. Indian gaming has become a major economic force.

Indian gaming’s growth includes:

◼ In FY 2023, tribes earned $41.9 billion from 527 casinos in 29 states, a 2.4% increase.

◼ Non-gaming amenities added $5.1 billion in revenue.

◼ 29 states host Indian gaming; 25 permit Class III, while four allow Class II-only casinos.

◼ Indian casinos create 680,000 jobs nationwide.

My advice: For serious video poker players seeking maximum returns, avoid Class II games. Consider them as playing slot machines.

May your wins be swift and large, and losses slow and minimal.