diff --git a/src/handlers/notification/index.js b/src/handlers/notification/index.js
index 6b52d3ca..5d992097 100644
--- a/src/handlers/notification/index.js
+++ b/src/handlers/notification/index.js
@@ -319,8 +319,8 @@ const processMessage = async (msg, span) => {
     }
     histTimerEndSendRequest({ success: true, from, dest: to, action, status: response.status })
 
-    // send an extra notification back to the original sender (if enabled in config)
-    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE) {
+    // send an extra notification back to the original sender (if enabled in config) and ignore this for on-us transfers
+    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE && from !== to) {
       const callbackURLFrom = await Participant.getEndpoint(from, ENUM.EndPoints.FspEndpointTypes.FSPIOP_CALLBACK_URL_TRANSFER_PUT, id, span)
       Logger.isDebugEnabled && Logger.debug(`Notification::processMessage - Callback.sendRequest(${callbackURLFrom}, ${ENUM.Http.RestMethods.PUT}, ${JSON.stringify(callbackHeaders)}, ${payloadForCallback}, ${id}, ${ENUM.Http.Headers.FSPIOP.SWITCH.value}, ${from})`)
       callbackHeaders = createCallbackHeaders({ dfspId: from, transferId: id, headers: content.headers, httpMethod: ENUM.Http.RestMethods.PUT, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT }, fromSwitch)
@@ -366,8 +366,8 @@ const processMessage = async (msg, span) => {
     Logger.isDebugEnabled && Logger.debug(`Notification::processMessage - Callback.sendRequest(${callbackURLTo}, ${ENUM.Http.RestMethods.PUT}, ${JSON.stringify(callbackHeaders)}, ${payloadForCallback}, ${id}, ${from}, ${to})`)
     await Callback.sendRequest(callbackURLTo, callbackHeaders, from, to, ENUM.Http.RestMethods.PUT, payloadForCallback, ENUM.Http.ResponseTypes.JSON, span)
 
-    // send an extra notification back to the original sender (if enabled in config)
-    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE) {
+    // send an extra notification back to the original sender (if enabled in config) and ignore this for on-us transfers
+    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE && from !== to) {
       jwsSigner = getJWSSigner(ENUM.Http.Headers.FSPIOP.SWITCH.value)
       Logger.isDebugEnabled && Logger.debug(`Notification::processMessage - Callback.sendRequest(${callbackURLFrom}, ${ENUM.Http.RestMethods.PUT}, ${JSON.stringify(callbackHeaders)}, ${payloadForCallback}, ${id}, ${ENUM.Http.Headers.FSPIOP.SWITCH.value}, ${from})`)
       callbackHeaders = createCallbackHeaders({ dfspId: from, transferId: id, headers: content.headers, httpMethod: ENUM.Http.RestMethods.PUT, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT }, fromSwitch)
@@ -389,8 +389,8 @@ const processMessage = async (msg, span) => {
     Logger.isDebugEnabled && Logger.debug(`Notification::processMessage - Callback.sendRequest(${callbackURLTo}, ${ENUM.Http.RestMethods.PUT}, ${JSON.stringify(callbackHeaders)}, ${payloadForCallback}, ${id}, ${from}, ${to})`)
     await Callback.sendRequest(callbackURLTo, callbackHeaders, from, to, ENUM.Http.RestMethods.PUT, payloadForCallback, ENUM.Http.ResponseTypes.JSON, span)
 
-    // send an extra notification back to the original sender (if enabled in config)
-    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE) {
+    // send an extra notification back to the original sender (if enabled in config) and ignore this for on-us transfers
+    if (Config.SEND_TRANSFER_CONFIRMATION_TO_PAYEE && from !== to) {
       jwsSigner = getJWSSigner(ENUM.Http.Headers.FSPIOP.SWITCH.value)
       Logger.isDebugEnabled && Logger.debug(`Notification::processMessage - Callback.sendRequest(${callbackURLFrom}, ${ENUM.Http.RestMethods.PUT}, ${JSON.stringify(callbackHeaders)}, ${payloadForCallback}, ${id}, ${ENUM.Http.Headers.FSPIOP.SWITCH.value}, ${from})`)
       callbackHeaders = createCallbackHeaders({ dfspId: from, transferId: id, headers: content.headers, httpMethod: ENUM.Http.RestMethods.PUT, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT_ERROR }, fromSwitch)
diff --git a/test/unit/handlers/notification/index.test.js b/test/unit/handlers/notification/index.test.js
index caa2dad9..1889883d 100644
--- a/test/unit/handlers/notification/index.test.js
+++ b/test/unit/handlers/notification/index.test.js
@@ -727,6 +727,74 @@ Test('Notification Service tests', async notificationTest => {
       test.end()
     })
 
+    processMessageTest.test('should not send notification to sender even if "SEND_TRANSFER_CONFIRMATION_TO_PAYEE" is enabled for on-us transfers', async test => {
+      const ConfigStub = Util.clone(Config)
+      ConfigStub.SEND_TRANSFER_CONFIRMATION_TO_PAYEE = true
+      const NotificationProxy = Proxyquire(`${src}/handlers/notification`, {
+        '../../lib/config': ConfigStub
+      })
+      const payerFsp = 'dfsp1'
+      const payeeFsp = 'dfsp1'
+      const uuid = Uuid()
+      const msg = {
+        value: {
+          metadata: {
+            event: {
+              type: 'notification',
+              action: 'commit',
+              state: {
+                status: 'success',
+                code: 0
+              }
+            }
+          },
+          content: {
+            headers: {
+              'FSPIOP-Destination': payeeFsp,
+              'FSPIOP-Source': payerFsp
+            },
+            payload: { transferId: uuid }
+          },
+          to: payeeFsp,
+          from: payerFsp,
+          id: 'b51ec534-ee48-4575-b6a9-ead2955b8098'
+        }
+      }
+
+      const method = ENUM.Http.RestMethods.PUT
+      let fromUrl = await Participant.getEndpoint(msg.value.from, ENUM.EndPoints.FspEndpointTypes.FSPIOP_CALLBACK_URL_TRANSFER_PUT, msg.value.content.payload.transferId)
+      let toUrl = await Participant.getEndpoint(msg.value.to, ENUM.EndPoints.FspEndpointTypes.FSPIOP_CALLBACK_URL_TRANSFER_PUT, msg.value.content.payload.transferId)
+      let fromHeaders = createCallbackHeaders({ dfspId: msg.value.from, transferId: msg.value.content.payload.transferId, headers: msg.value.content.headers, httpMethod: method, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT }, true)
+      let toHeaders = createCallbackHeaders({ dfspId: msg.value.to, transferId: msg.value.content.payload.transferId, headers: msg.value.content.headers, httpMethod: method, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT })
+      const message = { transferId: uuid }
+
+      Callback.sendRequest.withArgs(fromUrl, fromHeaders, ENUM.Http.Headers.FSPIOP.SWITCH.value, msg.value.from, method, JSON.stringify(message), 'json').returns(Promise.resolve(200))
+
+      // test for "commit" action and "success" status
+      await NotificationProxy.processMessage(msg)
+      test.ok(Callback.sendRequest.calledWith(toUrl, toHeaders, msg.value.from, msg.value.to, method, JSON.stringify(message)))
+      test.notok(Callback.sendRequest.calledWith(fromUrl, fromHeaders, ENUM.Http.Headers.FSPIOP.SWITCH.value, msg.value.from, method, JSON.stringify(message)))
+
+      // test for "reject" action
+      msg.value.metadata.event.action = 'reject'
+      await NotificationProxy.processMessage(msg)
+      test.ok(Callback.sendRequest.calledWith(toUrl, toHeaders, msg.value.from, msg.value.to, method, JSON.stringify(message)))
+      test.notok(Callback.sendRequest.calledWith(fromUrl, fromHeaders, ENUM.Http.Headers.FSPIOP.SWITCH.value, msg.value.from, method, JSON.stringify(message)))
+
+      fromUrl = await Participant.getEndpoint(msg.value.from, ENUM.EndPoints.FspEndpointTypes.FSPIOP_CALLBACK_URL_TRANSFER_ERROR, msg.value.content.payload.transferId)
+      toUrl = await Participant.getEndpoint(msg.value.to, ENUM.EndPoints.FspEndpointTypes.FSPIOP_CALLBACK_URL_TRANSFER_ERROR, msg.value.content.payload.transferId)
+      fromHeaders = createCallbackHeaders({ dfspId: msg.value.from, transferId: msg.value.content.payload.transferId, headers: msg.value.content.headers, httpMethod: method, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT_ERROR }, true)
+      toHeaders = createCallbackHeaders({ dfspId: msg.value.to, transferId: msg.value.content.payload.transferId, headers: msg.value.content.headers, httpMethod: method, endpointTemplate: ENUM.EndPoints.FspEndpointTemplates.TRANSFERS_PUT_ERROR })
+
+      // test for "abort" action
+      msg.value.metadata.event.action = 'abort'
+      await NotificationProxy.processMessage(msg)
+      test.notok(Callback.sendRequest.calledWith(fromUrl, fromHeaders, ENUM.Http.Headers.FSPIOP.SWITCH.value, msg.value.from, method, JSON.stringify(message)))
+      test.ok(Callback.sendRequest.calledWith(toUrl, toHeaders, msg.value.from, msg.value.to, method, JSON.stringify(message)))
+
+      test.end()
+    })
+
     await processMessageTest.test('warn if invalid action received from kafka', async test => {
       const CentralServicesLoggerStub = {
         error: sandbox.stub().returns(Promise.resolve()),