2 files changed, 25 insertions, 18 deletions

diff --git a/crates/turtle/src/atuin_client/settings.rs b/crates/turtle/src/atuin_client/settings.rs
index e4c21d4a..98829529 100644
--- a/crates/turtle/src/atuin_client/settings.rs
+++ b/crates/turtle/src/atuin_client/settings.rs
@@ -1,9 +1,9 @@
 use crypto_secretbox::Key;
 use std::{
-    collections::HashMap, fmt, fs::read_to_string, io::prelude::Write, path::PathBuf, str::FromStr,
-    sync::OnceLock,
+    collections::HashMap, fmt, fs::read_to_string, path::PathBuf, str::FromStr, sync::OnceLock,
 };
 use tokio::sync::OnceCell;
+use tracing::info;
 use uuid::Uuid;
 
 use crate::atuin_common::utils;
@@ -13,7 +13,7 @@ use config::{
     Config, ConfigBuilder, Environment, File as ConfigFile, FileFormat, builder::DefaultState,
 };
 use eyre::{Context, Error, Result, bail, eyre};
-use fs_err::{File, create_dir_all};
+use fs_err::create_dir_all;
 use regex::RegexSet;
 use serde::{Deserialize, Serialize};
 use serde_with::DeserializeFromStr;
@@ -1181,10 +1181,12 @@ impl Settings {
             // file with defaults. <2026-06-13>
             create_dir_all(config_file.parent().unwrap())?;
 
-            bail!(
-                "No config file at: `{}`. Please add one.",
+            info!(
+                "No config file at: `{}`. Not adding one.",
                 config_file.display()
-            )
+            );
+
+            config_builder
         };
 
         // all paths should be expanded
diff --git a/crates/turtle/src/atuin_server/settings.rs b/crates/turtle/src/atuin_server/settings.rs
index ee2fbebf..73fc5e42 100644
--- a/crates/turtle/src/atuin_server/settings.rs
+++ b/crates/turtle/src/atuin_server/settings.rs
@@ -1,9 +1,10 @@
 use std::path::PathBuf;
 
 use config::{Config, Environment, File as ConfigFile, FileFormat};
-use eyre::{Result, bail, eyre};
+use eyre::{Result, eyre};
 use fs_err::create_dir_all;
 use serde::{Deserialize, Serialize};
+use tracing::info;
 
 use crate::atuin_server::database::DbSettings;
 
@@ -62,7 +63,7 @@ impl Settings {
         config_file.push("server.toml");
 
         // create the config file if it does not exist
-        let config_builder = Config::builder()
+        let mut config_builder = Config::builder()
             .set_default("host", "127.0.0.1")?
             .set_default("port", 8888)?
             .set_default("max_history_length", 8192)?
@@ -78,22 +79,26 @@ impl Settings {
                     .separator("__"),
             );
 
-        let config = if config_file.exists() {
-            config_builder
-                .add_source(ConfigFile::new(
-                    config_file.to_str().unwrap(),
-                    FileFormat::Toml,
-                ))
-                .build()?
+        config_builder = if config_file.exists() {
+            config_builder.add_source(ConfigFile::new(
+                config_file.to_str().unwrap(),
+                FileFormat::Toml,
+            ))
         } else {
+            // TODO(@bpeetz): Rework the config handling, so that we can actually auto-write a
+            // file with defaults. <2026-06-13>
             create_dir_all(config_file.parent().unwrap())?;
 
-            bail!(
-                "No config file at: `{}`. Please add one.",
+            info!(
+                "No config file at: `{}`. Not adding one.",
                 config_file.display()
-            )
+            );
+
+            config_builder
         };
 
+        let config = config_builder.build()?;
+
         config
             .try_deserialize()
             .map_err(|e| eyre!("failed to deserialize: {}", e))