diff --git a/src/libs/actions/IOU.js b/src/libs/actions/IOU.js
index 8a3f7ced02f7..b2e030f4aa02 100644
--- a/src/libs/actions/IOU.js
+++ b/src/libs/actions/IOU.js
@@ -849,6 +849,13 @@ function getPayMoneyRequestParams(chatReport, iouReport, recipient, paymentMetho
                 },
             },
         },
+        {
+            onyxMethod: CONST.ONYX.METHOD.MERGE,
+            key: `${ONYXKEYS.COLLECTION.REPORT}${chatReport.reportID}`,
+            value: {
+                iouReportID: null,
+            },
+        },
     ];
 
     const failureData = [