An NBFC accepts public deposits under a mutual contract with its depositors. In case, where a depositor requests for pre-mature payment, RBI has prescribed Regulations for such an eventuality in the NBFC Acceptance of Public Deposits (Reserve Bank) Directions, 1998 wherein it is specified that NBFCs cannot grant any loan against a public deposit or make premature repayment of deposit within a period of 3 months (lock-in period) from the date of its acceptance. However, in the event of the death of a depositor, the company may, even within the lock-in period, repay the deposit at the request of the nominee/legal heir / joint holders with the survivor clause only after submission of relevant proof, to the satisfaction of the NBFC.