diff --git a/net/bluetooth/hci_core.c b/net/bluetooth/hci_core.c
index 5ef5221c1813..6c12110b75a7 100644
--- a/net/bluetooth/hci_core.c
+++ b/net/bluetooth/hci_core.c
@@ -931,10 +931,20 @@ static int __hci_init(struct hci_dev *hdev)
 	if (err < 0)
 		return err;
 
-	/* Only create debugfs entries during the initial setup
-	 * phase and not every time the controller gets powered on.
+	/* This function is only called when the controller is actually in
+	 * configured state. When the controller is marked as unconfigured,
+	 * this initialization procedure is not run.
+	 *
+	 * It means that it is possible that a controller runs through its
+	 * setup phase and then discovers missing settings. If that is the
+	 * case, then this function will not be called. It then will only
+	 * be called during the config phase.
+	 *
+	 * So only when in setup phase or config phase, create the debugfs
+	 * entries and register the SMP channels.
 	 */
-	if (!test_bit(HCI_SETUP, &hdev->dev_flags))
+	if (!test_bit(HCI_SETUP, &hdev->dev_flags) &&
+	    !test_bit(HCI_CONFIG, &hdev->dev_flags))
 		return 0;
 
 	hci_debugfs_create_common(hdev);