I had a Heritage made with no nibs, frets over the binding. I love the guitar, but when I met the dude who did the work & thanked him, he said it was a pain in the ass & didn't seem too happy about it.
I'm not a fan of thick binding as I think you lose fret area, and it's a waste of playability. Sometimes a string will even get caught in the crack. The thinner binding isn't so bad though.