diff --git a/src/core/crypto.c b/src/core/crypto.c
index d5d9efc5c9..12d209a18c 100644
--- a/src/core/crypto.c
+++ b/src/core/crypto.c
@@ -941,16 +941,6 @@ QuicCryptoWriteFrames(
         return TRUE;
     }
 
-    if (QuicConnIsClient(Connection) &&
-        Builder->Key == Crypto->TlsState.WriteKeys[QUIC_PACKET_KEY_HANDSHAKE]) {
-        CXPLAT_DBG_ASSERT(Builder->Key);
-        //
-        // Per spec, client MUST discard Initial keys when it starts
-        // encrypting packets with handshake keys.
-        //
-        QuicCryptoDiscardKeys(Crypto, QUIC_PACKET_KEY_INITIAL);
-    }
-
     uint8_t PrevFrameCount = Builder->Metadata->FrameCount;
 
     uint16_t AvailableBufferLength =
diff --git a/src/core/packet_builder.c b/src/core/packet_builder.c
index 854e420db7..84ae2d77fa 100644
--- a/src/core/packet_builder.c
+++ b/src/core/packet_builder.c
@@ -997,6 +997,17 @@ QuicPacketBuilderFinalize(
         Builder->Path,
         Builder->Metadata);
 
+    //
+    // Per RFC 9001 s4.9.1, a client MUST discard Initial keys when it first
+    // sends a Handshake packet. This must happen on ANY Handshake packet
+    // (not just those carrying CRYPTO frames) so that Initial bytes in flight
+    // are released from congestion control and the TLS Finished can be sent.
+    //
+    if (QuicConnIsClient(Connection) &&
+        Builder->Key->Type == QUIC_PACKET_KEY_HANDSHAKE) {
+        QuicCryptoDiscardKeys(&Connection->Crypto, QUIC_PACKET_KEY_INITIAL);
+    }
+
     Builder->Metadata->FrameCount = 0;
 
     if (Builder->Metadata->Flags.IsAckEliciting) {
diff --git a/src/platform/tls_openssl.c b/src/platform/tls_openssl.c
index c6c79db5e9..14ff104681 100644
--- a/src/platform/tls_openssl.c
+++ b/src/platform/tls_openssl.c
@@ -3321,25 +3321,23 @@ CxPlatTlsProcessData(
 
 Exit:
 
-    if (!(TlsContext->ResultFlags & CXPLAT_TLS_RESULT_ERROR)) {
-        if (State->WriteKeys[QUIC_PACKET_KEY_HANDSHAKE] != NULL &&
-            State->BufferOffsetHandshake == 0) {
-            State->BufferOffsetHandshake = State->BufferTotalLength;
-            QuicTraceLogConnInfo(
-                OpenSslHandshakeDataStart,
-                TlsContext->Connection,
-                "Writing Handshake data starts at %u",
-                State->BufferOffsetHandshake);
-        }
-        if (State->WriteKeys[QUIC_PACKET_KEY_1_RTT] != NULL &&
-            State->BufferOffset1Rtt == 0) {
-            State->BufferOffset1Rtt = State->BufferTotalLength;
-            QuicTraceLogConnInfo(
-                OpenSsl1RttDataStart,
-                TlsContext->Connection,
-                "Writing 1-RTT data starts at %u",
-                State->BufferOffset1Rtt);
-        }
+    if (State->WriteKeys[QUIC_PACKET_KEY_HANDSHAKE] != NULL &&
+        State->BufferOffsetHandshake == 0) {
+        State->BufferOffsetHandshake = State->BufferTotalLength;
+        QuicTraceLogConnInfo(
+            OpenSslHandshakeDataStart,
+            TlsContext->Connection,
+            "Writing Handshake data starts at %u",
+            State->BufferOffsetHandshake);
+    }
+    if (State->WriteKeys[QUIC_PACKET_KEY_1_RTT] != NULL &&
+        State->BufferOffset1Rtt == 0) {
+        State->BufferOffset1Rtt = State->BufferTotalLength;
+        QuicTraceLogConnInfo(
+            OpenSsl1RttDataStart,
+            TlsContext->Connection,
+            "Writing 1-RTT data starts at %u",
+            State->BufferOffset1Rtt);
     }
 
     return TlsContext->ResultFlags;
diff --git a/src/platform/tls_quictls.c b/src/platform/tls_quictls.c
index 65131bf2ad..5837d4f5b9 100644
--- a/src/platform/tls_quictls.c
+++ b/src/platform/tls_quictls.c
@@ -2145,25 +2145,23 @@ CxPlatTlsProcessData(
 
 Exit:
 
-    if (!(TlsContext->ResultFlags & CXPLAT_TLS_RESULT_ERROR)) {
-        if (State->WriteKeys[QUIC_PACKET_KEY_HANDSHAKE] != NULL &&
-            State->BufferOffsetHandshake == 0) {
-            State->BufferOffsetHandshake = State->BufferTotalLength;
-            QuicTraceLogConnInfo(
-                OpenSslHandshakeDataStart,
-                TlsContext->Connection,
-                "Writing Handshake data starts at %u",
-                State->BufferOffsetHandshake);
-        }
-        if (State->WriteKeys[QUIC_PACKET_KEY_1_RTT] != NULL &&
-            State->BufferOffset1Rtt == 0) {
-            State->BufferOffset1Rtt = State->BufferTotalLength;
-            QuicTraceLogConnInfo(
-                OpenSsl1RttDataStart,
-                TlsContext->Connection,
-                "Writing 1-RTT data starts at %u",
-                State->BufferOffset1Rtt);
-        }
+    if (State->WriteKeys[QUIC_PACKET_KEY_HANDSHAKE] != NULL &&
+        State->BufferOffsetHandshake == 0) {
+        State->BufferOffsetHandshake = State->BufferTotalLength;
+        QuicTraceLogConnInfo(
+            OpenSslHandshakeDataStart,
+            TlsContext->Connection,
+            "Writing Handshake data starts at %u",
+            State->BufferOffsetHandshake);
+    }
+    if (State->WriteKeys[QUIC_PACKET_KEY_1_RTT] != NULL &&
+        State->BufferOffset1Rtt == 0) {
+        State->BufferOffset1Rtt = State->BufferTotalLength;
+        QuicTraceLogConnInfo(
+            OpenSsl1RttDataStart,
+            TlsContext->Connection,
+            "Writing 1-RTT data starts at %u",
+            State->BufferOffset1Rtt);
     }
 
     return TlsContext->ResultFlags;