Founder Chris Holbrook had an idea for a postcode lottery website in 2007. Photo: AOL

Imagine playing and winning a lottery game without spending a cent on tickets - or in this case - a penny.

It's a British-based lottery website that has paid out up to £500,000 (US$650,000 approx), but the players don't buy tickets. They use their own postcode address given to them by the British postal service.

The prizes are paid for by ads running on the site.

The Free Postcode Lottery website in 2015.

Originally named freepostcodelottery.com, the website lets UK residents sign up with their postcode. Then every day at noon Chris has a draw, and awards the main prize which starts at £500).

He sends the winner an email to let them know.

He changed the name to Pick My Postcode this year, and now has 4 staff.

Chris said “I had the idea for a postcode lottery in September 2007 when I heard the term on a Radio 4 report about the NHS. I was also inspired by milliondollarhomepage.com, and how advertising on the internet makes things free.”

Chris Holbrook in his redesigned website today.

“I’ve never been a fan of lotteries, and gambling in general, because the consumer almost always loses,” he commented on his website. “So worked on the concept of a daily, ad-funded postcode lottery that scaled the prizes along with the audience.”

This is not the only lottery of its type. The People's Postcode Lottery manages society lotteries on behalf of a range of charitable bodies. These lotteries support charities and good causes and claim to have raised millions for charity.

The People's Postcode Lottery website.

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