diff --git a/.github/workflows/e2e-test-workflow-call.yml b/.github/workflows/e2e-test-workflow-call.yml
index 10ddfd9a..de990ce2 100644
--- a/.github/workflows/e2e-test-workflow-call.yml
+++ b/.github/workflows/e2e-test-workflow-call.yml
@@ -18,7 +18,7 @@ jobs:
     strategy:
       matrix:
         tests: 
-          - "e2e-test-ibc"
+          - "e2e-test-ibc-success"
           - "e2e-test-ibc-timeout"
       fail-fast: false
     runs-on: ubuntu-latest
diff --git a/.github/workflows/e2e_test.yml b/.github/workflows/e2e_test.yml
index de1d1c71..81251353 100644
--- a/.github/workflows/e2e_test.yml
+++ b/.github/workflows/e2e_test.yml
@@ -25,7 +25,7 @@ jobs:
     strategy:
       matrix:
         tests: 
-          - "e2e-test-ibc"
+          - "e2e-test-ibc-success"
           - "e2e-test-ibc-timeout"
       fail-fast: false
     runs-on: ubuntu-latest
diff --git a/Makefile b/Makefile
index 03cbe2dd..1483f0c7 100644
--- a/Makefile
+++ b/Makefile
@@ -5,15 +5,15 @@
 ###############################################################################
 
 # Executes IBC tests via rollup-e2e-testing
-e2e-test-ibc:
-	cd tests && go test -timeout=25m -race -v -run TestIBCTransfer .
+e2e-test-ibc-success:
+	cd tests && go test -timeout=25m -race -v -run TestIBCTransferSuccess .
 
 # Executes IBC tests via rollup-e2e-testing
 e2e-test-ibc-timeout:
 	cd tests && go test -timeout=25m -race -v -run TestIBCTransferTimeout .
   
 # Executes all tests via rollup-e2e-testing
-e2e-test-all: e2e-test-ibc e2e-test-ibc-timeout
+e2e-test-all: e2e-test-ibc-success e2e-test-ibc-timeout
 
-.PHONY: e2e-test-ibc e2e-test-ibc-timeout e2e-test-all
+.PHONY: e2e-test-ibc-success e2e-test-ibc-timeout e2e-test-all
 
diff --git a/tests/ibc_timeout_test.go b/tests/ibc_timeout_test.go
index 2f0f704a..e0e63f2f 100644
--- a/tests/ibc_timeout_test.go
+++ b/tests/ibc_timeout_test.go
@@ -2,6 +2,7 @@ package tests
 
 import (
 	"context"
+	"fmt"
 	"testing"
 
 	"cosmossdk.io/math"
@@ -28,7 +29,7 @@ func TestIBCTransferTimeout(t *testing.T) {
 	configFileOverrides := make(map[string]any)
 	dymintTomlOverrides := make(testutil.Toml)
 	dymintTomlOverrides["settlement_layer"] = "dymension"
-	dymintTomlOverrides["node_address"] = "http://dymension_100-1-val-0-TestIBCTransferTimeout:26657"
+	dymintTomlOverrides["node_address"] = fmt.Sprintf("http://dymension_100-1-val-0-%s:26657", t.Name())
 	dymintTomlOverrides["rollapp_id"] = "demo-dymension-rollapp"
 
 	configFileOverrides["config/dymint.toml"] = dymintTomlOverrides
@@ -184,6 +185,11 @@ func TestIBCTransferTimeout(t *testing.T) {
 	dymensionIBCDenom := transfertypes.ParseDenomTrace(dymensionTokenDenom).IBCDenom()
 	testutil.AssertBalance(t, ctx, rollapp1, rollappUserAddr, dymensionIBCDenom, math.NewInt(0))
 
+	// According to delayedack module, we need the rollapp to have finalizedHeight > ibcClientLatestHeight
+	// in order to trigger ibc timeout or else it will trigger callback
+	err = testutil.WaitForBlocks(ctx, 5, rollapp1)
+	require.NoError(t, err)
+
 	err = r.StartRelayer(ctx, eRep, ibcPath)
 	require.NoError(t, err)
 
@@ -196,11 +202,10 @@ func TestIBCTransferTimeout(t *testing.T) {
 		},
 	)
 
-	err = testutil.WaitForBlocks(ctx, 5, rollapp1)
+	err = testutil.WaitForBlocks(ctx, 10, dymension)
 	require.NoError(t, err)
 
 	// Assert funds were returned to the sender after the timeout has occured
-	testutil.AssertBalance(t, ctx, dymension, dymensionUserAddr, dymension.Config().Denom, walletAmount)
 	testutil.AssertBalance(t, ctx, rollapp1, rollappUserAddr, dymensionIBCDenom, math.NewInt(0))
-
+	testutil.AssertBalance(t, ctx, dymension, dymensionUserAddr, dymension.Config().Denom, walletAmount)
 }
diff --git a/tests/ibc_transfer_test.go b/tests/ibc_transfer_test.go
index 033fe41c..ecc64bef 100644
--- a/tests/ibc_transfer_test.go
+++ b/tests/ibc_transfer_test.go
@@ -2,6 +2,7 @@ package tests
 
 import (
 	"context"
+	"fmt"
 	"testing"
 
 	"cosmossdk.io/math"
@@ -18,7 +19,7 @@ import (
 const ibcPath = "dymension-demo"
 
 // TestStart is a basic test to assert that spinning up a dymension network with 1 validator works properly.
-func TestIBCTransfer(t *testing.T) {
+func TestIBCTransferSuccess(t *testing.T) {
 	if testing.Short() {
 		t.Skip()
 	}
@@ -28,7 +29,7 @@ func TestIBCTransfer(t *testing.T) {
 	configFileOverrides := make(map[string]any)
 	dymintTomlOverrides := make(testutil.Toml)
 	dymintTomlOverrides["settlement_layer"] = "dymension"
-	dymintTomlOverrides["node_address"] = "http://dymension_100-1-val-0-TestIBCTransfer:26657"
+	dymintTomlOverrides["node_address"] = fmt.Sprintf("http://dymension_100-1-val-0-%s:26657", t.Name())
 	dymintTomlOverrides["rollapp_id"] = "demo-dymension-rollapp"
 
 	configFileOverrides["config/dymint.toml"] = dymintTomlOverrides