One big disincentive for a borrower to take the flexi-loan detour is that the moment she exits from the basic loan highway, her loan ceiling (i.e., the maximum amount that she can take out as a loan, built up on the basis of her performance over the years) gets wiped out. When she reenters the highway after completing her detour, her loan ceiling will have to be reconstructed. This will be somewhere between her entry-level loan ceiling and the loan ceiling she enjoyed immediately before taking the detour.
