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Age and History
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If you adopt an adult cockatiel who resists being held, it likely isn't your fault. As they grow, cockatiels learn to either fear or trust human contact, and it all depends on that prior training and interaction. If your adult cockatiel was abused or neglected, for example, he may fear human contact. Even if he came from a loving home, if he wasn't trained in his youth to be held, he may be uncomfortable with handling as an adult.
Invading Personal Space
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Cockatiels are territorial and protective creatures; when they feel threatened, they won't be comfortable being held. You may not see the harm in certain behaviors, but to your cockatiel, they're terrifying. Notably, reaching into his cage and forcibly taking him out gets your interaction off to a bad start. Your cockatiel has to feel that his cage is a safe, secure and private place; when you invade it with your hand -- which is big and strong enough to completely immobilize him -- his sense of security is shaken, making the bird less likely to feel comfortable being held.
Before Hand-Training
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Your cockatiel's apprehension about being held may stem from inadequate or unkind human interaction that leave him distrusting of humans. Before you start hand-training your bird, you need to build his sense of trust and his affection for you. Spend time with your bird every day, even while he's in the cage. You don't need to directly interact with him all the time -- simply sitting together while you read or watch television can help him understand you're not a threat, and he'll grow to expect and enjoy your company. But definitely do give him your full attention to him for a bit each day. Start slowly, simply talking to him from a distance in a calm and soothing voice.
Hand-Training Patience
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If your cockatiel is uncomfortable being held, the most important thing you can do during hand-training is remain patient. Becoming frustrated or upset with your bird will reinforce his fear and discomfort, so take your time, allowing lessons to proceed on the bird's terms. Always let him come to you -- open the cage and allow him to fly out. Keep your sessions short: 10 or 15 minutes is typically as long as your bird can go without becoming agitated or nervous. For more help teaching your bird to step up, consult an avian trainer or veterinarian.
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A Cockatiel Uncomfortable With Being Held
Cockatiels are generally sociable birds who enjoy the company of their owners, but that doesn't guarantee that every specimen likes to be held. If your bird is uncomfortable with handling, it may not be anything you did -- it may be a result of past treatment or lack of training in his youth. Even if your cockatiel resists being held because of your actions, you can train him to become more comfortable in your hands.