diff --git a/src/wallet/wallet.cpp b/src/wallet/wallet.cpp
index ef9352f2b82..179ba9ff331 100644
--- a/src/wallet/wallet.cpp
+++ b/src/wallet/wallet.cpp
@@ -472,8 +472,7 @@ std::shared_ptr<CWallet> RestoreWallet(WalletContext& context, const fs::path& b
         error += strprintf(Untranslated("Unexpected exception: %s"), e.what());
     }
     if (!wallet) {
-        fs::remove(wallet_file);
-        fs::remove(wallet_path);
+        fs::remove_all(wallet_path);
     }
 
     return wallet;
diff --git a/test/functional/wallet_crosschain.py b/test/functional/wallet_crosschain.py
index 9cc1f93729b..6f93ad4e3be 100755
--- a/test/functional/wallet_crosschain.py
+++ b/test/functional/wallet_crosschain.py
@@ -36,20 +36,28 @@ class WalletCrossChain(BitcoinTestFramework):
         self.log.info("Creating wallets")
 
         node0_wallet = os.path.join(self.nodes[0].datadir, 'node0_wallet')
+        node0_wallet_backup = os.path.join(self.nodes[0].datadir, 'node0_wallet.bak')
         self.nodes[0].createwallet(node0_wallet)
+        self.nodes[0].backupwallet(node0_wallet_backup)
         self.nodes[0].unloadwallet(node0_wallet)
         node1_wallet = os.path.join(self.nodes[1].datadir, 'node1_wallet')
+        node1_wallet_backup = os.path.join(self.nodes[0].datadir, 'node1_wallet.bak')
         self.nodes[1].createwallet(node1_wallet)
+        self.nodes[1].backupwallet(node1_wallet_backup)
         self.nodes[1].unloadwallet(node1_wallet)
 
-        self.log.info("Loading wallets into nodes with a different genesis blocks")
+        self.log.info("Loading/restoring wallets into nodes with a different genesis block")
 
         if self.options.descriptors:
             assert_raises_rpc_error(-18, 'Wallet file verification failed.', self.nodes[0].loadwallet, node1_wallet)
             assert_raises_rpc_error(-18, 'Wallet file verification failed.', self.nodes[1].loadwallet, node0_wallet)
+            assert_raises_rpc_error(-18, 'Wallet file verification failed.', self.nodes[0].restorewallet, 'w', node1_wallet_backup)
+            assert_raises_rpc_error(-18, 'Wallet file verification failed.', self.nodes[1].restorewallet, 'w', node0_wallet_backup)
         else:
             assert_raises_rpc_error(-4, 'Wallet files should not be reused across chains.', self.nodes[0].loadwallet, node1_wallet)
             assert_raises_rpc_error(-4, 'Wallet files should not be reused across chains.', self.nodes[1].loadwallet, node0_wallet)
+            assert_raises_rpc_error(-4, 'Wallet files should not be reused across chains.', self.nodes[0].restorewallet, 'w', node1_wallet_backup)
+            assert_raises_rpc_error(-4, 'Wallet files should not be reused across chains.', self.nodes[1].restorewallet, 'w', node0_wallet_backup)
 
         if not self.options.descriptors:
             self.log.info("Override cross-chain wallet load protection")