diff --git a/components/brave_rewards/resources/extension/brave_rewards/_locales/en_US/messages.json b/components/brave_rewards/resources/extension/brave_rewards/_locales/en_US/messages.json
index 241a9a4c6d05..c93ccf49f7bf 100644
--- a/components/brave_rewards/resources/extension/brave_rewards/_locales/en_US/messages.json
+++ b/components/brave_rewards/resources/extension/brave_rewards/_locales/en_US/messages.json
@@ -214,7 +214,7 @@
     "description": "We show this string in the notification when you don't have enough funds for contribution"
   },
   "contributeNotificationTipError": {
-    "message": "There was a problem processing your tip, please try again.",
+    "message": "Unable to send your tip. Please try again later.",
     "description": "We show this string in notification when tip fails"
   },
   "noActivity": {
diff --git a/vendor/bat-native-ledger/src/bat_contribution.cc b/vendor/bat-native-ledger/src/bat_contribution.cc
index 7e0fe904f3e0..ba9a74ee316e 100644
--- a/vendor/bat-native-ledger/src/bat_contribution.cc
+++ b/vendor/bat-native-ledger/src/bat_contribution.cc
@@ -1526,6 +1526,15 @@ void BatContribution::AddRetry(
     reconcile = ledger_->GetReconcileById(viewing_id);
   }
 
+  // Don't retry one-time tip if in phase 1
+  if (GetRetryPhase(step) == 1 &&
+      reconcile.category_ == ledger::REWARDS_CATEGORY::DIRECT_DONATION) {
+    OnReconcileComplete(ledger::Result::TIP_ERROR,
+                        viewing_id,
+                        reconcile.category_);
+    return;
+  }
+
   uint64_t start_timer_in = GetRetryTimer(step, viewing_id, reconcile);
   bool success = ledger_->AddReconcileStep(viewing_id,
                                            reconcile.retry_step_,