diff --git a/apps/browser/src/autofill/content/components/notification/button-row.spec.ts b/apps/browser/src/autofill/content/components/notification/button-row.spec.ts
new file mode 100644
index 00000000000..26a63a4bc59
--- /dev/null
+++ b/apps/browser/src/autofill/content/components/notification/button-row.spec.ts
@@ -0,0 +1,77 @@
+import { ThemeTypes } from "@bitwarden/common/platform/enums";
+
+import { mockI18n } from "../lit-stories/mock-data";
+import { ButtonRow } from "../rows/button-row";
+
+import { NotificationButtonRow } from "./button-row";
+
+jest.mock("lit", () => ({
+  html: jest.fn((_strings: TemplateStringsArray, ...values: any[]) => values),
+}));
+jest.mock("../icons", () => ({
+  Business: jest.fn(),
+  Family: jest.fn(),
+  Folder: jest.fn(),
+  User: jest.fn(),
+  CollectionShared: jest.fn(),
+}));
+jest.mock("../rows/button-row", () => ({ ButtonRow: jest.fn() }));
+jest.mock("../signals/selected-folder", () => ({
+  selectedFolder: { get: jest.fn(() => "0"), set: jest.fn() },
+}));
+jest.mock("../signals/selected-vault", () => ({
+  selectedVault: { get: jest.fn(() => "0"), set: jest.fn() },
+}));
+jest.mock("../signals/selected-collection", () => ({
+  selectedCollection: { get: jest.fn(() => "0"), set: jest.fn() },
+}));
+
+describe("NotificationButtonRow", () => {
+  const defaultProps = {
+    i18n: mockI18n,
+    primaryButton: {
+      text: "Save",
+      handlePrimaryButtonClick: jest.fn(),
+    },
+    personalVaultIsAllowed: true,
+    theme: ThemeTypes.Light,
+  };
+
+  beforeEach(() => {
+    jest.clearAllMocks();
+  });
+
+  describe("folder options", () => {
+    it("marks the No Folder option as default when its id is an empty string", () => {
+      const folders = [
+        { id: "folder-uuid", name: "Alpha" },
+        { id: "", name: "No Folder" },
+      ];
+
+      NotificationButtonRow({ ...defaultProps, folders });
+
+      const { selectButtons } = (ButtonRow as jest.Mock).mock.calls[0][0];
+      const folderSelectButton = selectButtons.find((b: any) => b.id === "folder");
+      const noFolderOption = folderSelectButton.options.find((o: any) => o.text === "No Folder");
+
+      expect(noFolderOption.default).toBe(true);
+      expect(noFolderOption.value).toBe("0");
+    });
+
+    it("does not mark real folders as default", () => {
+      const folders = [
+        { id: "folder-uuid", name: "Alpha" },
+        { id: "", name: "No Folder" },
+      ];
+
+      NotificationButtonRow({ ...defaultProps, folders });
+
+      const { selectButtons } = (ButtonRow as jest.Mock).mock.calls[0][0];
+      const folderSelectButton = selectButtons.find((b: any) => b.id === "folder");
+      const alphaOption = folderSelectButton.options.find((o: any) => o.text === "Alpha");
+
+      expect(alphaOption.default).toBe(false);
+      expect(alphaOption.value).toBe("folder-uuid");
+    });
+  });
+});
diff --git a/apps/browser/src/autofill/content/components/notification/button-row.ts b/apps/browser/src/autofill/content/components/notification/button-row.ts
index 04b79c1951a..96a67e3d57d 100644
--- a/apps/browser/src/autofill/content/components/notification/button-row.ts
+++ b/apps/browser/src/autofill/content/components/notification/button-row.ts
@@ -83,8 +83,8 @@ export function NotificationButtonRow({
           {
             icon: Folder,
             text: name,
-            value: id === null ? defaultNoneSelectValue : id,
-            default: id === null,
+            value: !id ? defaultNoneSelectValue : id,
+            default: !id,
           },
         ],
         [],