diff --git a/playwright/tests/channels.spec.ts b/playwright/tests/channels.spec.ts
index a29b6e46379..9065409e09e 100644
--- a/playwright/tests/channels.spec.ts
+++ b/playwright/tests/channels.spec.ts
@@ -3,7 +3,7 @@ import { ChannelPage } from "@pages/channelsPage";
 import { ConfigurationPage } from "@pages/configurationPage";
 import { expect, test } from "@playwright/test";
 
-test.use({ storageState: "./playwright/.auth/admin.json" });
+test.use({ storageState: "./playwright/.auth/admin.json", locale: "en" });
 let configurationPage: ConfigurationPage;
 let channelPage: ChannelPage;
 
@@ -25,6 +25,34 @@ test("TC: SALEOR_97 Create basic channel @e2e @channels", async () => {
   await channelPage.expectSuccessBanner();
 });
 
+test("TC: SALEOR_208 Create channel with all settings @e2e @channels", async () => {
+  const slugName = new Date().toISOString();
+  await configurationPage.gotoConfigurationView();
+  await configurationPage.openChannels();
+  await channelPage.clickCreateChannelButton();
+  await channelPage.typeChannelName();
+  await channelPage.typeSlugName(slugName);
+  await channelPage.selectCurrency("AFN - Afghanistan");
+  await channelPage.selectCountry("Afghanistan");
+  await channelPage.clickTransactionFlowCheckbox();
+  // Checking before save because checkboxes used to not work properly
+  await expect(channelPage.transactionFlowCheckbox).toBeChecked();
+  await channelPage.clickAllowUnpaidOrdersCheckbox();
+  await expect(channelPage.allowUnpaidOrdersCheckbox).toBeChecked();
+  await channelPage.clickAuthorizeInsteadOfChargingCheckbox();
+  await expect(channelPage.authorizeInsteadOfChargingCheckbox).toBeChecked();
+  await channelPage.clickSaveButton();
+  await channelPage.expectSuccessBanner();
+
+  // Checking again after save because state wasn't saved properly
+  await channelPage.page.waitForURL(
+    (url: URL) => !url.pathname.includes("add"),
+  );
+  await expect(channelPage.transactionFlowCheckbox).toBeChecked();
+  await expect(channelPage.authorizeInsteadOfChargingCheckbox).toBeChecked();
+  await expect(channelPage.allowUnpaidOrdersCheckbox).toBeChecked();
+});
+
 test("TC: SALEOR_98 Edit channel - transaction flow, allow unpaid, authorize, prio high stock @e2e @channels", async () => {
   await channelPage.gotoChannelDetails(CHANNELS.channelToBeEditedSettings.id);
   await channelPage.clickTransactionFlowCheckbox();
diff --git a/src/channels/components/ChannelForm/ChannelForm.tsx b/src/channels/components/ChannelForm/ChannelForm.tsx
index efa4abdaf63..51a1bfc810d 100644
--- a/src/channels/components/ChannelForm/ChannelForm.tsx
+++ b/src/channels/components/ChannelForm/ChannelForm.tsx
@@ -210,11 +210,11 @@ export const ChannelForm: React.FC<ChannelFormProps> = ({
           />
         </Box>
         <MarkAsPaid
-          isDiabled={disabled}
           isChecked={
             data.markAsPaidStrategy === MarkAsPaidStrategyEnum.TRANSACTION_FLOW
           }
           onCheckedChange={onMarkAsPaidStrategyChange}
+          hasError={!!formErrors.markAsPaidStrategy}
         />
         <Box />
         <AllowUnpaidOrders
diff --git a/src/channels/components/ChannelForm/MarkAsPaid.tsx b/src/channels/components/ChannelForm/MarkAsPaid.tsx
index 8c6175747f3..7034de125ac 100644
--- a/src/channels/components/ChannelForm/MarkAsPaid.tsx
+++ b/src/channels/components/ChannelForm/MarkAsPaid.tsx
@@ -7,20 +7,20 @@ import { FormattedMessage } from "react-intl";
 import { messages } from "./messages";
 
 interface MarkAsPaidProps {
-  isDiabled: boolean;
+  hasError: boolean;
   isChecked: boolean;
   onCheckedChange: () => void;
 }
 
 export const MarkAsPaid = ({
-  isDiabled,
+  hasError,
   isChecked,
   onCheckedChange,
 }: MarkAsPaidProps) => (
   <Box paddingX={6} marginTop={4}>
     <Checkbox
       data-test-id="order-settings-mark-as-paid"
-      disabled={isDiabled}
+      error={hasError}
       checked={isChecked}
       onCheckedChange={onCheckedChange}
       name="markAsPaidStrategy"
diff --git a/src/channels/pages/ChannelDetailsPage/ChannelDetailsPage.tsx b/src/channels/pages/ChannelDetailsPage/ChannelDetailsPage.tsx
index 858a0936f9c..2b95827e0df 100644
--- a/src/channels/pages/ChannelDetailsPage/ChannelDetailsPage.tsx
+++ b/src/channels/pages/ChannelDetailsPage/ChannelDetailsPage.tsx
@@ -209,7 +209,9 @@ const ChannelDetailsPage = function <TErrors extends ChannelErrorFragment[]>({
         const reorderWarehouse = createWarehouseReorderHandler(data, set);
         const handleMarkAsPaidStrategyChange = () => {
           if (!data.markAsPaidStrategy) {
-            set({ markAsPaidStrategy: MarkAsPaidStrategyEnum.PAYMENT_FLOW });
+            set({
+              markAsPaidStrategy: MarkAsPaidStrategyEnum.TRANSACTION_FLOW,
+            });
             return;
           }