diff --git a/resources/js/views/Admin/PaymentSettings/PaymentSettingsTab/Payments.vue b/resources/js/views/Admin/PaymentSettings/PaymentSettingsTab/Payments.vue
index 552c371e..eac5bdb8 100644
--- a/resources/js/views/Admin/PaymentSettings/PaymentSettingsTab/Payments.vue
+++ b/resources/js/views/Admin/PaymentSettings/PaymentSettingsTab/Payments.vue
@@ -623,10 +623,17 @@ export default {
                     })
                 })
                 .catch((error) => {
-                    if (error.response.status === 500) {
-                        this.isError = true
-                        this.errorMessage = error.response.data.message
-                    }
+					if ([401, 500].includes(error.response.status)) {
+						events.$emit('alert:open', {
+							title: error.response.data.title,
+							message: error.response.data.message,
+						})
+					} else {
+						events.$emit('toaster', {
+							type: 'danger',
+							message: this.$t('popup_error.title'),
+						})
+					}
                 })
                 .finally(() => (this.isLoading = false))
         },
diff --git a/src/Domain/Settings/Actions/TestPaystackConnectionAction.php b/src/Domain/Settings/Actions/TestPaystackConnectionAction.php
new file mode 100644
index 00000000..f36df9a5
--- /dev/null
+++ b/src/Domain/Settings/Actions/TestPaystackConnectionAction.php
@@ -0,0 +1,60 @@
+<?php
+
+namespace Domain\Settings\Actions;
+
+use ErrorException;
+use VueFileManager\Subscription\Domain\Plans\DTO\CreateFixedPlanData;
+use VueFileManager\Subscription\Support\EngineManager;
+
+class TestPaystackConnectionAction
+{
+    public function __construct(
+        public EngineManager $subscription
+    ){}
+
+    public function __invoke($credentials)
+    {
+        try {
+            // Set temporary paystack connection
+            config([
+                'subscription.credentials.paystack' => [
+                    'secret'     => $credentials['secret'],
+                    'public_key' => $credentials['key'],
+                ],
+            ]);
+
+            // Define test plan
+            $data = CreateFixedPlanData::fromArray([
+                'type'        => 'fixed',
+                'name'        => 'Test Plan',
+                'description' => null,
+                'features'    => [
+                    'max_storage_amount' => 200,
+                    'max_team_members'   => 20,
+                ],
+                'currency'    => 'ZAR',
+                'amount'      => 99999,
+                'interval'    => 'month',
+            ]);
+
+            // Create test plan
+            $plan = $this->subscription
+                ->driver('paystack')
+                ->createFixedPlan($data);
+
+            // Delete plan
+            $this->subscription
+                ->driver('paystack')
+                ->deletePlan($plan['id']);
+
+        } catch (ErrorException $error) {
+            abort(
+                response()->json([
+                    'type'    => 'service-connection-error',
+                    'title'   => 'Service Connection Error',
+                    'message' => $error->getMessage(),
+                ], 401)
+            );
+        }
+    }
+}
\ No newline at end of file
diff --git a/src/Domain/Settings/Controllers/StorePaymentServiceCredentialsController.php b/src/Domain/Settings/Controllers/StorePaymentServiceCredentialsController.php
index 35d6ef90..bc91b4d5 100644
--- a/src/Domain/Settings/Controllers/StorePaymentServiceCredentialsController.php
+++ b/src/Domain/Settings/Controllers/StorePaymentServiceCredentialsController.php
@@ -4,10 +4,15 @@ namespace Domain\Settings\Controllers;
 use Artisan;
 use Illuminate\Http\Response;
 use Domain\Settings\Models\Setting;
+use Domain\Settings\Actions\TestPaystackConnectionAction;
 use Domain\Settings\Requests\StorePaymentServiceCredentialsRequest;
 
 class StorePaymentServiceCredentialsController
 {
+    public function __construct(
+        public TestPaystackConnectionAction $testPaystackConnection,
+    ) {}
+
     /**
      * Configure stripe additionally
      */
@@ -43,6 +48,15 @@ class StorePaymentServiceCredentialsController
 
         // Get and store credentials
         if (! app()->runningUnitTests()) {
+            // Test payment gateway connection
+            match ($request->input('service')) {
+                'paystack' => ($this->testPaystackConnection)([
+                    'key'    => $request->input('key'),
+                    'secret' => $request->input('secret'),
+                ]),
+                default => null
+            };
+
             $credentials = [
                 'stripe'   => [
                     'STRIPE_PUBLIC_KEY'     => $request->input('key'),