diff --git a/src/libs/ReportUtils.ts b/src/libs/ReportUtils.ts
index 22eb7007262f..434e15aa7fbf 100644
--- a/src/libs/ReportUtils.ts
+++ b/src/libs/ReportUtils.ts
@@ -4321,19 +4321,19 @@ function getReasonAndReportActionThatRequiresAttention(
     }
 
     const optionReportMetadata = allReportMetadata?.[`${ONYXKEYS.COLLECTION.REPORT_METADATA}${optionOrReport.reportID}`];
+    // This will be fixed as part of https://github.com/Expensify/Expensify/issues/507850
+    // eslint-disable-next-line @typescript-eslint/no-deprecated
+    const policy = getPolicy(optionOrReport.policyID);
     const invoiceReceiverPolicyID = optionOrReport?.invoiceReceiver && 'policyID' in optionOrReport.invoiceReceiver ? optionOrReport.invoiceReceiver.policyID : undefined;
     // This will be fixed as part of https://github.com/Expensify/Expensify/issues/507850
     // eslint-disable-next-line @typescript-eslint/no-deprecated
     const invoiceReceiverPolicy = invoiceReceiverPolicyID ? getPolicy(invoiceReceiverPolicyID) : undefined;
-    const {reportAction: iouReportActionToApproveOrPay, actionBadge} = getIOUReportActionWithBadge(optionOrReport, undefined, optionReportMetadata, invoiceReceiverPolicy);
+    const {reportAction: iouReportActionToApproveOrPay, actionBadge} = getIOUReportActionWithBadge(optionOrReport, policy, optionReportMetadata, invoiceReceiverPolicy);
     const iouReportID = getIOUReportIDFromReportActionPreview(iouReportActionToApproveOrPay);
     const transactions = getReportTransactions(iouReportID);
     const hasOnlyPendingTransactions = transactions.length > 0 && transactions.every((t) => isExpensifyCardTransaction(t) && isPending(t));
 
     // Has a child report that is awaiting action (e.g. approve, pay, add bank account) from current user
-    // This will be fixed as part of https://github.com/Expensify/Expensify/issues/507850
-    // eslint-disable-next-line @typescript-eslint/no-deprecated
-    const policy = getPolicy(optionOrReport.policyID);
     if (
         (optionOrReport.hasOutstandingChildRequest === true || iouReportActionToApproveOrPay?.reportActionID) &&
         (policy?.reimbursementChoice !== CONST.POLICY.REIMBURSEMENT_CHOICES.REIMBURSEMENT_NO || !hasOnlyPendingTransactions)
diff --git a/src/libs/actions/IOU/index.ts b/src/libs/actions/IOU/index.ts
index 99cd0f4e1871..87c662d01f94 100644
--- a/src/libs/actions/IOU/index.ts
+++ b/src/libs/actions/IOU/index.ts
@@ -76,7 +76,6 @@ import {
     arePaymentsEnabled,
     getDistanceRateCustomUnit,
     getMemberAccountIDsForWorkspace,
-    getPolicy,
     getSubmitToAccountID,
     hasDependentTags,
     hasDynamicExternalWorkflow,
@@ -9775,7 +9774,7 @@ function canSubmitReport(
 
 function getIOUReportActionWithBadge(
     chatReport: OnyxEntry<OnyxTypes.Report>,
-    updatedIouReport: OnyxEntry<OnyxTypes.Report>,
+    policy: OnyxEntry<OnyxTypes.Policy>,
     reportMetadata: OnyxEntry<OnyxTypes.ReportMetadata>,
     invoiceReceiverPolicy: OnyxEntry<OnyxTypes.Policy>,
 ): {reportAction: OnyxEntry<ReportAction>; actionBadge?: ValueOf<typeof CONST.REPORT.ACTION_BADGE>} {
@@ -9786,10 +9785,7 @@ function getIOUReportActionWithBadge(
         if (!action || action.actionName !== CONST.REPORT.ACTIONS.TYPE.REPORT_PREVIEW || isDeletedAction(action)) {
             return false;
         }
-        const iouReport = updatedIouReport?.reportID === action.childReportID ? updatedIouReport : getReportOrDraftReport(action.childReportID);
-        // This will be fixed as part of https://github.com/Expensify/Expensify/issues/507850
-        // eslint-disable-next-line @typescript-eslint/no-deprecated
-        const policy = getPolicy(iouReport?.policyID);
+        const iouReport = getReportOrDraftReport(action.childReportID);
         // Only show to the actual payer, exclude admins with bank account access
         if (canIOUBePaid(iouReport, chatReport, policy, undefined, undefined, undefined, undefined, invoiceReceiverPolicy)) {
             actionBadge = CONST.REPORT.ACTION_BADGE.PAY;
diff --git a/tests/actions/IOUTest.ts b/tests/actions/IOUTest.ts
index b578ad549813..28233f01ea42 100644
--- a/tests/actions/IOUTest.ts
+++ b/tests/actions/IOUTest.ts
@@ -13389,7 +13389,7 @@ describe('actions/IOU', () => {
 
             await Onyx.set(`${ONYXKEYS.COLLECTION.REPORT_ACTIONS}${fakeReport.reportID}`, MOCK_REPORT_ACTIONS);
 
-            const result = getIOUReportActionWithBadge(fakeReport, undefined, {}, undefined);
+            const result = getIOUReportActionWithBadge(fakeReport, fakePolicy, {}, undefined);
             expect(result.reportAction).toMatchObject(MOCK_REPORT_ACTIONS[reportID]);
             expect(result.actionBadge).toBe(CONST.REPORT.ACTION_BADGE.APPROVE);
         });
@@ -13447,7 +13447,7 @@ describe('actions/IOU', () => {
             });
             await waitForBatchedUpdates();
 
-            const result = getIOUReportActionWithBadge(fakeChatReport, undefined, {}, undefined);
+            const result = getIOUReportActionWithBadge(fakeChatReport, fakePolicy, {}, undefined);
             expect(result.reportAction).toMatchObject(reportPreviewAction);
             expect(result.actionBadge).toBe(CONST.REPORT.ACTION_BADGE.APPROVE);
         });
@@ -13510,7 +13510,7 @@ describe('actions/IOU', () => {
             });
             await waitForBatchedUpdates();
 
-            const result = getIOUReportActionWithBadge(fakeChatReport, undefined, {}, undefined);
+            const result = getIOUReportActionWithBadge(fakeChatReport, fakePolicy, {}, undefined);
             expect(result.reportAction).toMatchObject(reportPreviewAction);
             expect(result.actionBadge).toBe(CONST.REPORT.ACTION_BADGE.PAY);
         });
@@ -13574,7 +13574,7 @@ describe('actions/IOU', () => {
             });
             await waitForBatchedUpdates();
 
-            const result = getIOUReportActionWithBadge(fakeChatReport, undefined, {}, undefined);
+            const result = getIOUReportActionWithBadge(fakeChatReport, fakePolicy, {}, undefined);
             expect(result.reportAction).toMatchObject(reportPreviewAction);
             expect(result.actionBadge).toBe(CONST.REPORT.ACTION_BADGE.SUBMIT);
         });
@@ -13633,7 +13633,7 @@ describe('actions/IOU', () => {
             });
             await waitForBatchedUpdates();
 
-            const result = getIOUReportActionWithBadge(fakeChatReport, undefined, {}, undefined);
+            const result = getIOUReportActionWithBadge(fakeChatReport, fakePolicy, {}, undefined);
             expect(result.reportAction).toBeUndefined();
             expect(result.actionBadge).toBeUndefined();
         });