diff --git a/src/wallet/wallet2.cpp b/src/wallet/wallet2.cpp
index d66fead1..d80f65c0 100644
--- a/src/wallet/wallet2.cpp
+++ b/src/wallet/wallet2.cpp
@@ -4348,11 +4348,38 @@ bool wallet2::store_unsigned_tx_to_file_and_reserve_transfers(const finalize_tx_
   return true;
 }
 //----------------------------------------------------------------------------------------------------
+void wallet2::check_and_throw_if_self_directed_tx_with_payment_id_requested(const construct_tx_param& ctp)
+{
+  // If someone sends coins to his own address, all tx outputs will be detected as own outputs.
+  // It's totally okay unless payment id is used, because it would be impossible to distinguish
+  // between change outs and transfer outs. Thus, such tx with a payment id can't be correctly
+  // obtained via RPC by the given payment id. It could be a problem for an exchange or other
+  // service when a user, identifyied by payment id sends coins to another user on the same
+  // exchange/service. Coins will be received but RPCs like get_payments won't give the transfer.
+  // To avoid such issues we prohibit such txs with a soft rule on sender side.
+
+  for (auto& d : ctp.dsts)
+  {
+    for (auto& addr : d.addr)
+    {
+      if (addr != m_account.get_public_address())
+        return; // at least one destination address is not our address -- it's not self-directed tx
+    }
+  }
+
+  // it's self-directed tx
+  payment_id_t pid;
+  bool has_payment_id = get_payment_id_from_tx(ctp.attachments, pid) && !pid.empty();
+  WLT_THROW_IF_FALSE_WALLET_CMN_ERR_EX(!has_payment_id, "sending funds to yourself with payment id is not allowed");
+}
+//----------------------------------------------------------------------------------------------------
 void wallet2::transfer(const construct_tx_param& ctp,
   currency::transaction &tx,
   bool send_to_network,
   std::string* p_signed_tx_blob_str)
 {
+  check_and_throw_if_self_directed_tx_with_payment_id_requested(ctp);
+
   TIME_MEASURE_START(prepare_transaction_time);
   finalize_tx_param ftp = AUTO_VAL_INIT(ftp);
   prepare_transaction(ctp, ftp);
diff --git a/src/wallet/wallet2.h b/src/wallet/wallet2.h
index e03c8d55..8ed3a80e 100644
--- a/src/wallet/wallet2.h
+++ b/src/wallet/wallet2.h
@@ -863,7 +863,7 @@ private:
     void check_for_free_space_and_throw_if_it_lacks(const std::wstring& path, uint64_t exact_size_needed_if_known = UINT64_MAX);
     bool generate_packing_transaction_if_needed(currency::transaction& tx, uint64_t fake_outputs_number);
     bool store_unsigned_tx_to_file_and_reserve_transfers(const finalize_tx_param& ftp, const std::string& filename, std::string* p_unsigned_tx_blob_str = nullptr);
-
+    void check_and_throw_if_self_directed_tx_with_payment_id_requested(const construct_tx_param& ctp);
 
     currency::account_base m_account;
     bool m_watch_only;