It is a common resident of dry savannah across northern Australia, from the Kimberley, across the Top End, the Gulf country and the southern part of Cape York Peninsula, as far east as Chillagoe, but always near water.

Pairs or small flocks of masked finches forage through the day, mostly on the ground for grass seeds.

In the evenings and early mornings, large numbers—sometimes thousands— can gather around waterholes to drink, cleanse, and preen, flicking their tails sideways and chattering incessantly.

Pairs build a domed nest from grasses, lined with fine grass, feathers, and charcoal, in the late wet or early dry season.

The nest position varies: it can be as high as 20 metres or simply hidden in long grass.