diff --git a/fs/crypto/keysetup.c b/fs/crypto/keysetup.c
index a4e01a6fcc00..0fdab9f491b4 100644
--- a/fs/crypto/keysetup.c
+++ b/fs/crypto/keysetup.c
@@ -477,18 +477,9 @@ static void put_crypt_info(struct fscrypt_info *ci)
 
 	if (ci->ci_direct_key)
 		fscrypt_put_direct_key(ci->ci_direct_key);
-	else if (ci->ci_owns_key) {
-		if (fscrypt_policy_contents_mode(&ci->ci_policy) !=
-		    FSCRYPT_MODE_PRIVATE) {
-			fscrypt_destroy_prepared_key(&ci->ci_key);
-		} else {
-			crypto_free_skcipher(ci->ci_key.tfm);
-#ifdef CONFIG_FS_ENCRYPTION_INLINE_CRYPT
-			if (ci->ci_key.blk_key)
-				kzfree(ci->ci_key.blk_key);
-#endif
-		}
-	}
+	else if (ci->ci_owns_key)
+		fscrypt_destroy_prepared_key(&ci->ci_key);
+
 	key = ci->ci_master_key;
 	if (key) {
 		struct fscrypt_master_key *mk = key->payload.data[0];
diff --git a/fs/crypto/keysetup_v1.c b/fs/crypto/keysetup_v1.c
index 0dc04c55ad55..e67fec7df434 100644
--- a/fs/crypto/keysetup_v1.c
+++ b/fs/crypto/keysetup_v1.c
@@ -314,7 +314,6 @@ static int setup_v1_file_key_derived(struct fscrypt_info *ci,
 	if ((fscrypt_policy_contents_mode(&ci->ci_policy) ==
 					  FSCRYPT_MODE_PRIVATE) &&
 					  fscrypt_using_inline_encryption(ci)) {
-		ci->ci_owns_key = true;
 		if (ci->ci_policy.v1.flags &
 		    FSCRYPT_POLICY_FLAG_IV_INO_LBLK_32) {
 			union {
@@ -353,11 +352,8 @@ static int setup_v1_file_key_derived(struct fscrypt_info *ci,
 		for (i = 0; i < ARRAY_SIZE(key_new.words); i++)
 			__cpu_to_be32s(&key_new.words[i]);
 
-		err = fscrypt_prepare_inline_crypt_key(&ci->ci_key,
-						       key_new.bytes,
-						       ci->ci_mode->keysize,
-						       false,
-						       ci);
+		err = setup_v1_file_key_direct(ci, key_new.bytes);
+
 		if (derived_key)
 			kzfree(derived_key);