What is Pre-commitment?

Pre-commitment means locking in a decision ahead of time so that your future self cannot easily change it in the heat of the moment. Automatic monthly contributions, a stop order placed with the entry, and a daily loss limit enforced by the platform are all forms of it.

Why Pre-commitment matters

It moves the decision to a calm moment and makes the impulsive choice the one that takes extra effort.

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Lessons that use this term

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