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Need a parent loan? Ask Dad

A new study offers good reasons for adult children to turn to their fathers -- instead of their mothers -- when seeking a cash infusion.

By MSN Money Partner Jun 14, 2012 4:42PM

This post comes from Brian O'Connell at partner site MainStreet.

 

Be especially nice to your dad on Father's Day this weekend.

 

Image: A man holding a check book (© Image Source/Getty Images)You'd likely do it anyway, but there's a bonus -- it may pave the way for a cash infusion from Dear Old Dad down the road.

 

How so? It turns out fathers are more likely to respond to a request for cash from a son or daughter by dipping into his wallet right away.

 

Mom is more likely to open up a conversation about money and responsibility before snapping her checkbook open -- and there's no guarantee that will happen.

 

The data supporting this comes from Minneapolis-based Ameriprise Financial, which recently rolled out a study on moms, dads and family money matters.

 

In it, Ameriprise researchers say both parents want to help their adult children experiencing cash-flow problems, but they take dissimilar paths.

 

"Women and men may be predisposed to help family members in different ways -- which can cause disagreements and add to family tension if plans aren't discussed upfront," explains Suzanna de Baca, vice president of wealth strategies at Ameriprise. (Post continues below.)

"Couples may not always agree on the best way to support an adult child, but they can often reach a compromise if they simply take time to talk and consider each other's perspective."

 

The study targets baby boomer parents and their adult children (and in some cases, their elderly parents, as well).

 

Ameriprise notes that a whopping 93% of boomers have given money to their adult children, and the gender differences come into play almost immediately. That's especially true of big-ticket purchases such as a car or a request from a son or daughter for help paying off a fat credit card bill.

 

From the study:

  • By 58% to 48%, dads are more likely than moms to help out with a car purchase.
  • By 42% to 32%, dads are more likely to co-sign a lease or a loan.
  • By 51% to 43%, fathers are more likely than mothers to pay their child's car insurance.
  • By 37% to 29%, dads were more likely than moms to have made a car payment for their kids.

Why are mothers slower on the draw? Ameriprise says moms want to have a conversation about money, and they generally won't come across with the dough until that discussion happens.

The survey says that, by 54% to 46%, boomer moms are more likely than dads to need to talk it over before cutting a check to an adult child. That's also true of the adult daughters surveyed -- they say they follow their mother's lead more than their brothers do when handling family financial issues.

 

More on TheStreet/MainStreet and MSN Money:

 

 

4Comments
Jun 14, 2012 7:59PM
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Never ever ask parents for money. Grow up, be independent and stand on your own two feet!
Jun 14, 2012 7:35PM
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The bank of daddy is, and has been closed for years.

 

Too bad I couldn't get a bail out like a real bank. I need it.

Jun 15, 2012 6:55AM
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Mothers are smarter. They know they will never see that money again.
Jun 15, 2012 8:57AM
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yep, this article is true in our family....i give too much too quick, but i want to have a talk with my kids after i front money...probably not a good thing to do...they might listen better when they're hungry.
Jun 14, 2012 7:33PM
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I just made a loan to one of my nieces of several hundred dollars so her home, with two young children and one who just finished high school and is helping support his family, would not go into foreclosure. Her mom (my sister) helped with an equal amount. Guess the folks at Ameriprise Financial should have broadened their study.
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