diff --git a/crates/redeem/src/ext.rs b/crates/redeem/src/ext.rs
index 6e5f049f62..08650cef36 100644
--- a/crates/redeem/src/ext.rs
+++ b/crates/redeem/src/ext.rs
@@ -44,7 +44,9 @@ pub(crate) mod vault_registry {
     use frame_support::dispatch::{DispatchError, DispatchResult};
     use vault_registry::types::{CurrencyId, CurrencySource, DefaultVault};
 
-    pub fn max_premium_for_vault<T: crate::Config>(vault_id: &DefaultVaultId<T>) -> Result<Amount<T>, DispatchError> {
+    pub fn get_vault_max_premium_redeem<T: crate::Config>(
+        vault_id: &DefaultVaultId<T>,
+    ) -> Result<Amount<T>, DispatchError> {
         <vault_registry::Pallet<T>>::get_vault_max_premium_redeem(vault_id)
     }
 
diff --git a/crates/redeem/src/lib.rs b/crates/redeem/src/lib.rs
index 84e0826619..34f4568d84 100644
--- a/crates/redeem/src/lib.rs
+++ b/crates/redeem/src/lib.rs
@@ -506,12 +506,12 @@ impl<T: Config> Pallet<T> {
         let currency_id = vault_id.collateral_currency();
 
         let premium_collateral = if below_premium_redeem {
-            let premium_redeem_rate = ext::fee::premium_redeem_reward_rate::<T>();
             let redeem_amount_wrapped_in_collateral = user_to_be_received_btc.convert_to(currency_id)?;
+            let premium_redeem_rate = ext::fee::premium_redeem_reward_rate::<T>();
             let premium_for_redeem_amount = redeem_amount_wrapped_in_collateral
                 .checked_rounded_mul(&premium_redeem_rate, Rounding::NearestPrefUp)?;
 
-            let max_premium = ext::vault_registry::max_premium_for_vault(&vault_id)?;
+            let max_premium = ext::vault_registry::get_vault_max_premium_redeem(&vault_id)?;
             max_premium.min(&premium_for_redeem_amount)?
         } else {
             Amount::zero(currency_id)
diff --git a/crates/vault-registry/src/tests.rs b/crates/vault-registry/src/tests.rs
index 4a9104bf71..bb1defa353 100644
--- a/crates/vault-registry/src/tests.rs
+++ b/crates/vault-registry/src/tests.rs
@@ -1071,7 +1071,7 @@ mod get_vaults_below_premium_collaterlization_tests {
             // set back to default threshold so that vaults fall under premium redeem
             set_default_thresholds();
 
-            // not returned, because is is not under premium threshold
+            // not returned
             let id3 = vault_id(4);
             let issue_tokens2: u128 = 50;
             let collateral2 = 150;