Surprised nobody has put about the shortened form of 'Pegan'. I can see why some people wouldn't like it but I find it very classy and I wonder why people don't name their daughters this more. Most people called Peg in the early 20th century were actually called Pegan.
― Anonymous User 6/20/2016
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I've heard of families calling their daughters Peg (for Margaret), because it was tradition to name girls after their mothers. Therefore there would be several Margarets in one family- and several nicknames to differentiate- Maggie, Meg, Peg, Peggy. Since we don't pass on names like that any more, Peg sounds a little odd and outdated.