diff --git a/src/components/MoneyReportHeaderActions/MoneyReportHeaderSelectionDropdown.tsx b/src/components/MoneyReportHeaderActions/MoneyReportHeaderSelectionDropdown.tsx
index cddb34a778f5..048a162f2880 100644
--- a/src/components/MoneyReportHeaderActions/MoneyReportHeaderSelectionDropdown.tsx
+++ b/src/components/MoneyReportHeaderActions/MoneyReportHeaderSelectionDropdown.tsx
@@ -333,10 +333,11 @@ function MoneyReportHeaderSelectionDropdown({reportID, primaryAction, isReportIn
                     iouReport={moneyRequestReport}
                     onPaymentSelect={onSelectionModePaymentSelect}
                     onWorkspacePolicySelect={(selectedPolicy, triggerKYCFlow) => {
-                        if (shouldBlockAction(undefined, true)) {
+                        const continueWithWorkspace = () => triggerKYCFlow({policy: selectedPolicy});
+                        if (shouldBlockAction(undefined, true, continueWithWorkspace)) {
                             return;
                         }
-                        triggerKYCFlow({policy: selectedPolicy});
+                        continueWithWorkspace();
                     }}
                     onSuccessfulKYC={selectionModeKYCSuccess}
                     primaryAction={primaryAction}
diff --git a/src/components/MoneyRequestReportView/SelectionToolbar/index.tsx b/src/components/MoneyRequestReportView/SelectionToolbar/index.tsx
index 975c9d346e8c..bcd248d9acb0 100644
--- a/src/components/MoneyRequestReportView/SelectionToolbar/index.tsx
+++ b/src/components/MoneyRequestReportView/SelectionToolbar/index.tsx
@@ -262,10 +262,11 @@ function SelectionToolbar({reportID, transactions, reportActions}: SelectionTool
                                 onSelectionModePaymentSelect={onSelectionModePaymentSelect}
                                 selectionModeKYCSuccess={selectionModeKYCSuccess}
                                 onWorkspacePolicySelect={(selectedPolicy, triggerKYCFlow) => {
-                                    if (shouldBlockAction(undefined, true)) {
+                                    const continueWithWorkspace = () => triggerKYCFlow({policy: selectedPolicy});
+                                    if (shouldBlockAction(undefined, true, continueWithWorkspace)) {
                                         return;
                                     }
-                                    triggerKYCFlow({policy: selectedPolicy});
+                                    continueWithWorkspace();
                                 }}
                                 primaryAction={primaryAction}
                                 selectedTransactionsOptions={selectedTransactionsOptions}
diff --git a/src/hooks/useSelectionModePayment.ts b/src/hooks/useSelectionModePayment.ts
index a8752cd9817d..0bfe0f734c50 100644
--- a/src/hooks/useSelectionModePayment.ts
+++ b/src/hooks/useSelectionModePayment.ts
@@ -10,8 +10,6 @@ import {payInvoice, payMoneyRequest} from '@libs/actions/IOU/PayMoneyRequest';
 import {generateDefaultWorkspaceName} from '@libs/actions/Policy/Policy';
 import deferModalPresentationAfterPopoverDismiss from '@libs/deferModalPresentationAfterPopoverDismiss';
 import getNonEmptyStringOnyxID from '@libs/getNonEmptyStringOnyxID';
-import createDynamicRoute from '@libs/Navigation/helpers/dynamicRoutesUtils/createDynamicRoute';
-import Navigation from '@libs/Navigation/Navigation';
 import {isTrackOnboardingChoice} from '@libs/OnboardingUtils';
 import type {KYCFlowEvent, TriggerKYCFlow, WorkspacePolicyPaymentOption} from '@libs/PaymentUtils';
 import {selectPaymentType} from '@libs/PaymentUtils';
@@ -22,11 +20,10 @@ import refreshSearchAfterReportAction from '@libs/SearchRefreshUtils';
 
 import CONST from '@src/CONST';
 import ONYXKEYS from '@src/ONYXKEYS';
-import {DYNAMIC_ROUTES} from '@src/ROUTES';
 import type * as OnyxTypes from '@src/types/onyx';
 import type {PaymentMethodType} from '@src/types/onyx/OriginalMessage';
 
-import {delegateEmailSelector, isUserValidatedSelector} from '@selectors/Account';
+import {delegateEmailSelector} from '@selectors/Account';
 import {hasSeenTourSelector} from '@selectors/Onboarding';
 import {personalDetailsLoginSelector} from '@selectors/PersonalDetails';
 import truncate from 'lodash/truncate';
@@ -46,6 +43,7 @@ import usePaymentOptions from './usePaymentOptions';
 import usePermissions from './usePermissions';
 import usePolicy from './usePolicy';
 import useSearchShouldCalculateTotals from './useSearchShouldCalculateTotals';
+import useVerifyAccountAndResume from './useVerifyAccountAndResume';
 
 type HoldMenuOpenParams = {
     requestType: ActionHandledType;
@@ -96,7 +94,6 @@ function useSelectionModePayment({
     const [chatReport] = useOnyx(`${ONYXKEYS.COLLECTION.REPORT}${getNonEmptyStringOnyxID(moneyRequestReport?.chatReportID)}`);
     const [policy] = useOnyx(`${ONYXKEYS.COLLECTION.POLICY}${getNonEmptyStringOnyxID(moneyRequestReport?.policyID)}`);
     const [session] = useOnyx(ONYXKEYS.SESSION);
-    const [isUserValidated] = useOnyx(ONYXKEYS.ACCOUNT, {selector: isUserValidatedSelector});
     const [delegateEmail] = useOnyx(ONYXKEYS.ACCOUNT, {selector: delegateEmailSelector});
     const [allTransactionViolations] = useOnyx(ONYXKEYS.COLLECTION.TRANSACTION_VIOLATIONS);
     const [nextStep] = useOnyx(`${ONYXKEYS.COLLECTION.NEXT_STEP}${getNonEmptyStringOnyxID(moneyRequestReport?.reportID)}`);
@@ -124,6 +121,9 @@ function useSelectionModePayment({
     const {showLockedAccountModal} = useLockedAccountActions();
     const kycWallRef = useContext(KYCWallContext);
 
+    // Store the pending payment and resume it after the user validates, instead of dropping it on the way to the magic-code screen.
+    const {isUserValidated, verifyAccountAndResume} = useVerifyAccountAndResume((retry) => retry?.());
+
     const expensifyIcons = useMemoizedLazyExpensifyIcons(['Cash', 'ArrowRight', 'Building'] as const);
 
     const hasViolations = hasViolationsReportUtils(moneyRequestReport?.reportID, allTransactionViolations, accountID, email ?? '');
@@ -138,7 +138,7 @@ function useSelectionModePayment({
         }
     };
 
-    const shouldBlockAction = (paymentMethodType?: PaymentMethodType, deferBlockingPresentation = false) => {
+    const shouldBlockAction = (paymentMethodType?: PaymentMethodType, deferBlockingPresentation = false, retry?: () => void) => {
         if (isDelegateAccessRestricted) {
             presentBlockingAction(showDelegateNoAccessModal, deferBlockingPresentation);
             return true;
@@ -148,7 +148,7 @@ function useSelectionModePayment({
             return true;
         }
         if (!isUserValidated && paymentMethodType !== CONST.IOU.PAYMENT_TYPE.ELSEWHERE) {
-            presentBlockingAction(() => Navigation.navigate(createDynamicRoute(DYNAMIC_ROUTES.VERIFY_ACCOUNT.path)), deferBlockingPresentation);
+            presentBlockingAction(() => verifyAccountAndResume(retry), deferBlockingPresentation);
             return true;
         }
         return false;
@@ -265,10 +265,11 @@ function useSelectionModePayment({
     })();
 
     const handleWorkspaceSelected = (wp: OnyxTypes.Policy) => {
-        if (shouldBlockAction(undefined, true)) {
+        const continueWithWorkspace = () => kycWallRef.current?.continueAction?.({policy: wp});
+        if (shouldBlockAction(undefined, true, continueWithWorkspace)) {
             return;
         }
-        kycWallRef.current?.continueAction?.({policy: wp});
+        continueWithWorkspace();
     };
 
     const paymentSubMenuItems: PopoverMenuItem[] = (() => {
@@ -318,10 +319,11 @@ function useSelectionModePayment({
     };
 
     const onSelectionModePaymentSelect = (event: KYCFlowEvent, iouPaymentType: PaymentMethodType, triggerKYCFlow: TriggerKYCFlow) => {
-        if (shouldBlockAction(iouPaymentType, true)) {
+        const resumePaymentSelect = () => invokePaymentSelect(event, iouPaymentType, triggerKYCFlow);
+        if (shouldBlockAction(iouPaymentType, true, resumePaymentSelect)) {
             return;
         }
-        invokePaymentSelect(event, iouPaymentType, triggerKYCFlow);
+        resumePaymentSelect();
     };
 
     const selectionModeKYCSuccess = (type?: PaymentMethodType) => {
diff --git a/src/hooks/useSelectionModeReportActions.ts b/src/hooks/useSelectionModeReportActions.ts
index 230dec84e9ec..4d095b9fea75 100644
--- a/src/hooks/useSelectionModeReportActions.ts
+++ b/src/hooks/useSelectionModeReportActions.ts
@@ -209,10 +209,11 @@ function useSelectionModeReportActions({
     const onSelectionModePaymentSelect = (event: KYCFlowEvent, iouPaymentType: PaymentMethodType, triggerKYCFlow: TriggerKYCFlow) => {
         TransitionTracker.runAfterTransitions({
             callback: () => {
-                if (shouldBlockAction(iouPaymentType)) {
+                const resumePaymentSelect = () => invokePaymentSelect(event, iouPaymentType, triggerKYCFlow);
+                if (shouldBlockAction(iouPaymentType, false, resumePaymentSelect)) {
                     return;
                 }
-                invokePaymentSelect(event, iouPaymentType, triggerKYCFlow);
+                resumePaymentSelect();
             },
             waitForUpcomingTransition: true,
         });