I dont know how prevalent this is, but this is something I personally would never do and neither would I ask someone to do it. Its highly dangerous as to what sort of money that can come in or what they are going to use it for even if they are trusted enough family.
When it comes things like money where crime and fraud are happening as we speak, you can only trust yourself.
I feel that this is true for only Desi people and didn't notice such behavior in other demographics with ofc rare exceptions.
One of the major reasons I could think of is that we have no personal boundaries per se and let's be honest, most of the time we were broke af or living hand to mouth, I know, I was and with zero financial awareness but once you start are making some money then it changes automatically.