diff --git a/fineract-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/Loan.java b/fineract-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/Loan.java
index 280693da5fe..4803e2de6ce 100644
--- a/fineract-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/Loan.java
+++ b/fineract-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/Loan.java
@@ -1588,8 +1588,11 @@ public List<LoanTransaction> retrieveListOfTransactionsForReprocessing() {
     }
 
     private static Predicate<LoanTransaction> loanTransactionForReprocessingPredicate() {
-        return transaction -> transaction.isNotReversed() && (transaction.isChargeOff() || transaction.isReAge()
-                || transaction.isAccrualActivity() || transaction.isReAmortize() || !transaction.isNonMonetaryTransaction());
+        return transaction -> transaction.isNotReversed()
+                && (transaction.isChargeOff() || transaction.isReAge() || transaction.isAccrualActivity() || transaction.isReAmortize()
+                        || !transaction.isNonMonetaryTransaction())
+                || transaction.isReversed() && transaction.isChargeOff() && LoanChargeOffBehaviour.ZERO_INTEREST
+                        .equals(transaction.getLoan().getLoanProductRelatedDetail().getChargeOffBehaviour());
     }
 
     public List<LoanTransaction> retrieveListOfTransactionsExcludeAccruals() {
diff --git a/fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/transactionprocessor/impl/AdvancedPaymentScheduleTransactionProcessor.java b/fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/transactionprocessor/impl/AdvancedPaymentScheduleTransactionProcessor.java
index d7b52bd9e2e..d08bb6288f6 100644
--- a/fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/transactionprocessor/impl/AdvancedPaymentScheduleTransactionProcessor.java
+++ b/fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/domain/transactionprocessor/impl/AdvancedPaymentScheduleTransactionProcessor.java
@@ -1172,8 +1172,8 @@ private void handleOverpayment(Money overpaymentPortion, LoanTransaction loanTra
 
     private void handleChargeOff(final LoanTransaction loanTransaction, final TransactionCtx transactionCtx) {
         if (transactionCtx instanceof ProgressiveTransactionCtx progressiveTransactionCtx) {
-            if (LoanChargeOffBehaviour.ZERO_INTEREST
-                    .equals(loanTransaction.getLoan().getLoanProductRelatedDetail().getChargeOffBehaviour())) {
+            if (LoanChargeOffBehaviour.ZERO_INTEREST.equals(loanTransaction.getLoan().getLoanProductRelatedDetail().getChargeOffBehaviour())
+                    && !loanTransaction.isReversed()) {
                 handleZeroInterestChargeOff(loanTransaction, progressiveTransactionCtx);
             }
         }
diff --git a/fineract-provider/src/main/java/org/apache/fineract/portfolio/loanaccount/service/LoanWritePlatformServiceJpaRepositoryImpl.java b/fineract-provider/src/main/java/org/apache/fineract/portfolio/loanaccount/service/LoanWritePlatformServiceJpaRepositoryImpl.java
index ea08a7b3370..a544fde4f8c 100644
--- a/fineract-provider/src/main/java/org/apache/fineract/portfolio/loanaccount/service/LoanWritePlatformServiceJpaRepositoryImpl.java
+++ b/fineract-provider/src/main/java/org/apache/fineract/portfolio/loanaccount/service/LoanWritePlatformServiceJpaRepositoryImpl.java
@@ -3348,6 +3348,9 @@ public CommandProcessingResult undoChargeOff(JsonCommand command) {
         saveLoanWithDataIntegrityViolationChecks(loan);
         postJournalEntries(loan, existingTransactionIds, existingReversedTransactionIds);
         businessEventNotifierService.notifyPostBusinessEvent(new LoanUndoChargeOffBusinessEvent(chargedOffTransaction));
+
+        loan.reprocessTransactions();
+
         return new CommandProcessingResultBuilder() //
                 .withOfficeId(loan.getOfficeId()) //
                 .withClientId(loan.getClientId()) //