diff --git a/browser/ui/views/brave_ads/ad_notification_popup.cc b/browser/ui/views/brave_ads/ad_notification_popup.cc
index b3b914faced8..b29ffd9e308c 100644
--- a/browser/ui/views/brave_ads/ad_notification_popup.cc
+++ b/browser/ui/views/brave_ads/ad_notification_popup.cc
@@ -97,6 +97,15 @@ SkColor GetDarkModeBackgroundColor() {
   return bg_color;
 }
 
+void AdjustBoundsAndSnapToFitWorkAreaForWidget(views::Widget* widget) {
+  DCHECK(widget);
+
+  gfx::Rect bounds = widget->GetWindowBoundsInScreen();
+  const gfx::NativeView native_view = widget->GetNativeView();
+  AdjustBoundsAndSnapToFitWorkAreaForNativeView(native_view, &bounds);
+  widget->SetBounds(bounds);
+}
+
 }  // namespace
 
 AdNotificationPopup::PopupInstanceFactory::~PopupInstanceFactory() = default;
@@ -284,16 +293,6 @@ void AdNotificationPopup::OnThemeChanged() {
   SchedulePaint();
 }
 
-void AdNotificationPopup::OnWidgetCreated(views::Widget* widget) {
-  DCHECK(widget);
-
-  gfx::Rect bounds = widget->GetWindowBoundsInScreen();
-  const gfx::NativeView native_view = widget->GetNativeView();
-  AdjustBoundsToFitWorkAreaForNativeView(&bounds, native_view);
-
-  widget->SetBounds(bounds);
-}
-
 void AdNotificationPopup::OnWidgetDestroyed(views::Widget* widget) {
   DCHECK(widget);
 
@@ -448,10 +447,7 @@ void AdNotificationPopup::RecomputeAlignment() {
     return;
   }
 
-  gfx::Rect bounds = GetWidget()->GetWindowBoundsInScreen();
-  const gfx::NativeView native_view = GetWidget()->GetNativeView();
-  AdjustBoundsToFitWorkAreaForNativeView(&bounds, native_view);
-  GetWidget()->SetBounds(bounds);
+  AdjustBoundsAndSnapToFitWorkAreaForWidget(GetWidget());
 }
 
 const gfx::ShadowDetails& AdNotificationPopup::GetShadowDetails() const {
@@ -475,6 +471,7 @@ void AdNotificationPopup::CreateWidgetView() {
   if (!g_disable_fade_in_animation_for_testing) {
     widget->SetOpacity(0.0);
   }
+  AdjustBoundsAndSnapToFitWorkAreaForWidget(widget);
   widget->ShowInactive();
 }
 
diff --git a/browser/ui/views/brave_ads/ad_notification_popup.h b/browser/ui/views/brave_ads/ad_notification_popup.h
index ca5d9944f2f8..4ca129c60334 100644
--- a/browser/ui/views/brave_ads/ad_notification_popup.h
+++ b/browser/ui/views/brave_ads/ad_notification_popup.h
@@ -102,7 +102,6 @@ class AdNotificationPopup : public views::WidgetDelegateView,
   void OnThemeChanged() override;
 
   // views::WidgetObserver:
-  void OnWidgetCreated(views::Widget* widget) override;
   void OnWidgetDestroyed(views::Widget* widget) override;
   void OnWidgetBoundsChanged(views::Widget* widget,
                              const gfx::Rect& new_bounds) override;
diff --git a/browser/ui/views/brave_ads/ad_notification_view.cc b/browser/ui/views/brave_ads/ad_notification_view.cc
index 2dede9865aae..fd7266e49a4d 100644
--- a/browser/ui/views/brave_ads/ad_notification_view.cc
+++ b/browser/ui/views/brave_ads/ad_notification_view.cc
@@ -81,7 +81,7 @@ bool AdNotificationView::OnMouseDragged(const ui::MouseEvent& event) {
   const std::string id = ad_notification_.id();
   gfx::Rect bounds = AdNotificationPopup::GetBounds(id) + movement;
   const gfx::NativeView native_view = GetWidget()->GetNativeView();
-  AdjustBoundsToFitWorkAreaForNativeView(&bounds, native_view);
+  AdjustBoundsAndSnapToFitWorkAreaForNativeView(native_view, &bounds);
   GetWidget()->SetBounds(bounds);
 
   return true;
diff --git a/browser/ui/views/brave_ads/bounds_util.cc b/browser/ui/views/brave_ads/bounds_util.cc
index ae61fb275d40..bcba9b96ecc9 100644
--- a/browser/ui/views/brave_ads/bounds_util.cc
+++ b/browser/ui/views/brave_ads/bounds_util.cc
@@ -6,12 +6,17 @@
 #include "brave/browser/ui/views/brave_ads/bounds_util.h"
 
 #include "ui/display/screen.h"
+#include "ui/gfx/geometry/point.h"
 #include "ui/gfx/geometry/rect.h"
 
 namespace brave_ads {
 
-void AdjustBoundsToFitWorkAreaForNativeView(gfx::Rect* bounds,
-                                            gfx::NativeView native_view) {
+namespace {
+
+enum class EdgeGravity { kTop, kBottom, kLeft, kRight };
+
+gfx::Rect GetDisplayScreenWorkArea(gfx::Rect* bounds,
+                                   gfx::NativeView native_view) {
   DCHECK(bounds);
 
   gfx::Rect work_area =
@@ -25,7 +30,65 @@ void AdjustBoundsToFitWorkAreaForNativeView(gfx::Rect* bounds,
                     .work_area();
   }
 
+  return work_area;
+}
+
+void AdjustBoundsToFitWorkArea(const gfx::Rect& work_area, gfx::Rect* bounds) {
+  DCHECK(bounds);
+
   bounds->AdjustToFit(work_area);
 }
 
+void SnapBoundsToEdgeOfWorkArea(const gfx::Rect& work_area, gfx::Rect* bounds) {
+  DCHECK(bounds);
+
+  EdgeGravity gravity = EdgeGravity::kTop;
+  int min_dist = bounds->y() - work_area.y();
+
+  int dist =
+      work_area.y() + work_area.height() - bounds->y() - bounds->height();
+  if (min_dist > dist) {
+    min_dist = dist;
+    gravity = EdgeGravity::kBottom;
+  }
+
+  dist = bounds->x() - work_area.x();
+  if (min_dist > dist) {
+    min_dist = dist;
+    gravity = EdgeGravity::kLeft;
+  }
+
+  dist = work_area.x() + work_area.width() - bounds->x() - bounds->width();
+  if (min_dist > dist) {
+    min_dist = dist;
+    gravity = EdgeGravity::kRight;
+  }
+
+  switch (gravity) {
+    case EdgeGravity::kTop:
+      bounds->set_y(work_area.y());
+      break;
+    case EdgeGravity::kBottom:
+      bounds->set_y(work_area.y() + work_area.height() - bounds->height());
+      break;
+    case EdgeGravity::kLeft:
+      bounds->set_x(work_area.x());
+      break;
+    case EdgeGravity::kRight:
+      bounds->set_x(work_area.x() + work_area.width() - bounds->width());
+      break;
+  }
+}
+
+}  // namespace
+
+void AdjustBoundsAndSnapToFitWorkAreaForNativeView(gfx::NativeView native_view,
+                                                   gfx::Rect* bounds) {
+  DCHECK(bounds);
+
+  const gfx::Rect work_area = GetDisplayScreenWorkArea(bounds, native_view);
+  AdjustBoundsToFitWorkArea(work_area, bounds);
+  SnapBoundsToEdgeOfWorkArea(work_area, bounds);
+}
+
 }  // namespace brave_ads
diff --git a/browser/ui/views/brave_ads/bounds_util.h b/browser/ui/views/brave_ads/bounds_util.h
index c0c762d6dbaa..3ec2a4259984 100644
--- a/browser/ui/views/brave_ads/bounds_util.h
+++ b/browser/ui/views/brave_ads/bounds_util.h
@@ -14,8 +14,8 @@ class Rect;
 
 namespace brave_ads {
 
-void AdjustBoundsToFitWorkAreaForNativeView(gfx::Rect* bounds,
-                                            gfx::NativeView native_view);
+void AdjustBoundsAndSnapToFitWorkAreaForNativeView(gfx::NativeView native_view,
+                                                   gfx::Rect* bounds);
 
 }  // namespace brave_ads