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Yeah, that's the point indeed. The rubberband I say is there to help take you out of the moment and concentrate on the R.C. so you do it correctly, and it sticks firmer in your mind. Also, your mind expects the snap of it on your wrist after a few uses on time. This is true because people, me included were able to know when it was a certain time just by suddenly remembering to R.C., whether it be on the hour or whatever. It helps get the most of of R.C.s, which in turn help achieve LD's.
Update: Having a bit of a dryspell. Not sure if it's related to the rubberband, as it did start after I had an all nighter on saturday night. I should recover soon enough, probably tonight. Really getting back into the swing of using the rubberband- it's easy to do it often when you are stuck in an exam hall doing tests all day long for a week.
Another update: I didn't use the rubberband all day Saturday, and I had a lucid dream last night and I broke my slight dryspell.
Maybe it only works for so long and then it hinders you until you stop using it for a while?
To test that, I'm going to leave it off for a week or so.