diff --git a/awx/main/models/credential.py b/awx/main/models/credential.py
index ec9ff4ec0f95..df9283043c27 100644
--- a/awx/main/models/credential.py
+++ b/awx/main/models/credential.py
@@ -560,7 +560,7 @@ class CredentialTypeHelper:
     @classmethod
     def get_creation_params(cls, cred_type):
         if cred_type.kind == 'external':
-            return dict(namespace=cred_type.namespace, kind=cred_type.kind, name=cred_type.name, managed=False)
+            return dict(namespace=cred_type.namespace, kind=cred_type.kind, name=cred_type.name, managed=True)
         return dict(
             namespace=cred_type.namespace,
             kind=cred_type.kind,