diff --git a/rest/admin_api.go b/rest/admin_api.go
index bf079b30d0..de1965676e 100644
--- a/rest/admin_api.go
+++ b/rest/admin_api.go
@@ -126,6 +126,9 @@ func (h *handler) handleCreateDB() error {
 		// if it used to be corrupt we need to remove it from the invalid database map on server context and remove the old corrupt config from the bucket
 		err = h.removeCorruptConfigIfExists(contextNoCancel.Ctx, bucket, h.server.Config.Bootstrap.ConfigGroupID, dbName)
 		if err != nil {
+			// we cannot continue on with database creation with possibility of the corrupt database config in the bucket for this db
+			// thus we need to unload the requested database config to prevent the cluster being in an inconsistent state
+			h.server._removeDatabase(contextNoCancel.Ctx, dbName)
 			return err
 		}
 		cas, err := h.server.BootstrapContext.InsertConfig(contextNoCancel.Ctx, bucket, h.server.Config.Bootstrap.ConfigGroupID, &persistedConfig)
diff --git a/rest/config_test.go b/rest/config_test.go
index a6ebeb08a0..64615d1b04 100644
--- a/rest/config_test.go
+++ b/rest/config_test.go
@@ -2997,3 +2997,72 @@ func TestInvalidDbConfigNoLongerPresentInBucket(t *testing.T) {
 	resp = rt.CreateDatabase(dbName, dbConfig)
 	RequireStatus(t, resp, http.StatusCreated)
 }
+
+// TestNotFoundOnInvalidDatabase:
+//   - Create rest tester with large config polling interval
+//   - Insert a bad dbConfig into the bucket
+//   - Manually fetch and load db from buckets
+//   - Assert that the bad config is tracked as invalid config
+//   - Delete the bad config manually and attempt to correct the db config through create db endpoint
+//   - Assert db is removed form invalid db's and is now a running database on server context
+func TestNotFoundOnInvalidDatabase(t *testing.T) {
+	rt := NewRestTester(t, &RestTesterConfig{
+		CustomTestBucket: base.GetTestBucket(t),
+		PersistentConfig: true,
+		MutateStartupConfig: func(config *StartupConfig) {
+			// configure the interval time to not run
+			config.Bootstrap.ConfigUpdateFrequency = base.NewConfigDuration(100 * time.Second)
+		},
+		DatabaseConfig: nil,
+	})
+	defer rt.Close()
+	realBucketName := rt.CustomTestBucket.GetName()
+
+	// create a new invalid db config and persist to bucket
+	badName := "badBucketName"
+	dbConfig := rt.NewDbConfig()
+	dbConfig.Name = "db1"
+
+	version, err := GenerateDatabaseConfigVersionID(rt.Context(), "", &dbConfig)
+	require.NoError(t, err)
+	metadataID, metadataIDError := rt.ServerContext().BootstrapContext.ComputeMetadataIDForDbConfig(base.TestCtx(t), &dbConfig)
+	require.NoError(t, metadataIDError)
+
+	// insert the db config with bad bucket name
+	dbConfig.Bucket = &badName
+	persistedConfig := DatabaseConfig{
+		Version:    version,
+		MetadataID: metadataID,
+		DbConfig:   dbConfig,
+		SGVersion:  base.ProductVersion.String(),
+	}
+	rt.InsertDbConfigToBucket(&persistedConfig, rt.CustomTestBucket.GetName())
+
+	// manually fetch and load db configs from bucket
+	_, err = rt.ServerContext().fetchAndLoadConfigs(rt.Context(), false)
+	require.NoError(t, err)
+
+	// assert the config is picked as invalid db config
+	require.EventuallyWithT(t, func(c *assert.CollectT) {
+		invalidDatabases := rt.ServerContext().AllInvalidDatabaseNames(t)
+		assert.Equal(c, 1, len(invalidDatabases))
+	}, time.Second*10, time.Millisecond*100)
+
+	resp := rt.SendAdminRequest(http.MethodGet, "/db1/", "")
+	RequireStatus(t, resp, http.StatusNotFound)
+	assert.Contains(t, resp.Body.String(), "You must update database config immediately")
+
+	// delete the invalid db config to force the not found error
+	rt.DeleteDbConfigInBucket(dbConfig.Name, realBucketName)
+
+	// fix the bucket name and try fix corrupt db through create db endpoint
+	dbConfig.Bucket = &realBucketName
+	RequireStatus(t, rt.CreateDatabase(dbConfig.Name, dbConfig), http.StatusCreated)
+
+	// assert the config is remove the invalid config and we have a running db
+	require.EventuallyWithT(t, func(c *assert.CollectT) {
+		invalidDatabases := rt.ServerContext().AllInvalidDatabaseNames(t)
+		assert.Equal(c, 0, len(invalidDatabases))
+		assert.Equal(c, 1, len(rt.ServerContext().dbConfigs))
+	}, time.Second*10, time.Millisecond*100)
+}
diff --git a/rest/handler.go b/rest/handler.go
index eaac91ad9e..666470f097 100644
--- a/rest/handler.go
+++ b/rest/handler.go
@@ -704,7 +704,7 @@ func (h *handler) removeCorruptConfigIfExists(ctx context.Context, bucket, confi
 	}
 	// remove the bad config from the bucket
 	err := h.server.BootstrapContext.DeleteConfig(ctx, bucket, configGroupID, dbName)
-	if err != nil {
+	if err != nil && !base.IsDocNotFoundError(err) {
 		return err
 	}
 	// delete the database name form the invalid database map on server context