'Indian parents reward kids with cash for getting good marks'

Written by PTI | Mumbai | Updated: Nov 23 2013, 03:04am hrs
Indian parentsSixty per cent of parents prefer fixed deposits to provide for future needs of the children (Reuters)
Parents in India prefer offering cash to children as a reward for good marks in exams, though they don't appear to believe in the pocket money concept, a survey says.

The ING Vysya Bank survey, conducted online, covered 1,000 parents over the last three months. Sixty per cent of the respondents were city dwellers.

"More than half the parents don't believe in giving pocket money to their wards, instead they prefer to offer them cash if they score high in their exams," the survey said.

The annual 'ING Zing Survey' seeks to capture the changing behavioural trends among parents and kids on money management and how they adapt to each other's needs and requirements.

"The outlook of parents here about giving money to their kids is unlike parents in the West, who treat pocket money as a reward for household chores.

"The parents here, instead use it as a way to reward better grades and higher degree of responsibility," said ING Vysya Bank branch banking head Brett Morgan.

Nearly 73 per cent of respondents said that children turn to mothers mostly when they want to ask questions about money.

Sixty per cent of parents prefer fixed deposits to provide for future needs of the children.

Over 70 per cent surveyed parents believe that saving money is a necessary skill that the kids must be taught.

"To ensure that kids have a hands-on approach for money management skills, around 52 per cent parents have opened a bank account for them. This was 40 per cent last year," Morgan said.

Another survey finding is that parents believe in giving the responsibility of depositing money in the bank to children to make them more mature.