diff --git a/src/components/ReportActionItem/ReportPreview.tsx b/src/components/ReportActionItem/ReportPreview.tsx
index bdb3bbd2bb33..40f0b4b6b31a 100644
--- a/src/components/ReportActionItem/ReportPreview.tsx
+++ b/src/components/ReportActionItem/ReportPreview.tsx
@@ -201,7 +201,7 @@ function ReportPreview({
         if (isApproved) {
             return translate('iou.managerApproved', {manager: payerOrApproverName});
         }
-        const managerName = isPolicyExpenseChat ? ReportUtils.getPolicyName(chatReport) : ReportUtils.getDisplayNameForParticipant(managerID, true);
+        const managerName = isPolicyExpenseChat && !hasNonReimbursableTransactions ? ReportUtils.getPolicyName(chatReport) : ReportUtils.getDisplayNameForParticipant(managerID, true);
         let paymentVerb: TranslationPaths = hasNonReimbursableTransactions ? 'iou.payerSpent' : 'iou.payerOwes';
         if (iouSettled || iouReport?.isWaitingOnBankAccount) {
             paymentVerb = 'iou.payerPaid';
diff --git a/src/libs/ReportUtils.ts b/src/libs/ReportUtils.ts
index 568ce49ff961..4e5aaf46cf86 100644
--- a/src/libs/ReportUtils.ts
+++ b/src/libs/ReportUtils.ts
@@ -1958,7 +1958,8 @@ function getMoneyRequestReportName(report: OnyxEntry<Report>, policy: OnyxEntry<
 
     const moneyRequestTotal = getMoneyRequestSpendBreakdown(report).totalDisplaySpend;
     const formattedAmount = CurrencyUtils.convertToDisplayString(moneyRequestTotal, report?.currency, hasOnlyDistanceRequestTransactions(report?.reportID));
-    const payerOrApproverName = isExpenseReport(report) ? getPolicyName(report, false, policy) : getDisplayNameForParticipant(report?.managerID) ?? '';
+    const payerOrApproverName =
+        isExpenseReport(report) && !hasNonReimbursableTransactions(report?.reportID ?? '') ? getPolicyName(report, false, policy) : getDisplayNameForParticipant(report?.managerID) ?? '';
     const payerPaidAmountMessage = Localize.translateLocal('iou.payerPaidAmount', {
         payer: payerOrApproverName,
         amount: formattedAmount,
@@ -2256,9 +2257,10 @@ function getReportPreviewMessage(
         }
     }
 
+    const containsNonReimbursable = hasNonReimbursableTransactions(report.reportID);
     const totalAmount = getMoneyRequestSpendBreakdown(report).totalDisplaySpend;
     const policyName = getPolicyName(report, false, policy);
-    const payerName = isExpenseReport(report) ? policyName : getDisplayNameForParticipant(report.managerID, !isPreviewMessageForParentChatReport);
+    const payerName = isExpenseReport(report) && !containsNonReimbursable ? policyName : getDisplayNameForParticipant(report.managerID, !isPreviewMessageForParentChatReport);
 
     const formattedAmount = CurrencyUtils.convertToDisplayString(totalAmount, report.currency);
 
@@ -2302,8 +2304,6 @@ function getReportPreviewMessage(
         return Localize.translateLocal('iou.waitingOnBankAccount', {submitterDisplayName});
     }
 
-    const containsNonReimbursable = hasNonReimbursableTransactions(report.reportID);
-
     const lastActorID = reportAction?.actorAccountID;
 
     // if we have the amount in the originalMessage and lastActorID, we can use that to display the preview message for the latest request