diff --git a/packages/desktop-client/src/components/budget/index.tsx b/packages/desktop-client/src/components/budget/index.tsx
index 12c70c57065..81ab8b88b0d 100644
--- a/packages/desktop-client/src/components/budget/index.tsx
+++ b/packages/desktop-client/src/components/budget/index.tsx
@@ -92,6 +92,7 @@ type BudgetProps = {
   moveCategory: BoundActions['moveCategory'];
   moveCategoryGroup: BoundActions['moveCategoryGroup'];
   loadPrefs: BoundActions['loadPrefs'];
+  addNotification: BoundActions['addNotification'];
 };
 
 function Budget(props: BudgetProps) {
@@ -241,7 +242,28 @@ function Budget(props: BudgetProps) {
     setIsAddingGroup(false);
   };
 
+  const categoryNameAlreadyExistsNotification = name => {
+    props.addNotification({
+      type: 'error',
+      message: `Category ‘${name}’ already exists in group (May be Hidden)`,
+    });
+  };
+
   const onSaveCategory = async category => {
+    let exists =
+      (await props.getCategories()).grouped
+        .filter(g => g.id === category.cat_group)[0]
+        .categories.filter(
+          c => c.name.toUpperCase() === category.name.toUpperCase(),
+        )
+        .filter(c => (category.id === 'new' ? true : c.id !== category.id))
+        .length > 0;
+
+    if (exists) {
+      categoryNameAlreadyExistsNotification(category.name);
+      return;
+    }
+
     if (category.id === 'new') {
       let id = await props.createCategory(
         category.name,
@@ -350,6 +372,21 @@ function Budget(props: BudgetProps) {
   };
 
   const onReorderCategory = async sortInfo => {
+    let cats = await props.getCategories();
+    let moveCandidate = cats.list.filter(c => c.id === sortInfo.id)[0];
+    let exists =
+      cats.grouped
+        .filter(g => g.id === sortInfo.groupId)[0]
+        .categories.filter(
+          c => c.name.toUpperCase() === moveCandidate.name.toUpperCase(),
+        )
+        .filter(c => c.id !== moveCandidate.id).length > 0;
+
+    if (exists) {
+      categoryNameAlreadyExistsNotification(moveCandidate.name);
+      return;
+    }
+
     props.moveCategory(sortInfo.id, sortInfo.groupId, sortInfo.targetId);
     setCategoryGroups(state =>
       moveCategory(state, sortInfo.id, sortInfo.groupId, sortInfo.targetId),
diff --git a/packages/loot-core/src/server/db/index.ts b/packages/loot-core/src/server/db/index.ts
index a06e08dc2d9..caeb038397b 100644
--- a/packages/loot-core/src/server/db/index.ts
+++ b/packages/loot-core/src/server/db/index.ts
@@ -346,6 +346,17 @@ export async function insertCategory(
 
   let id_;
   await batchMessages(async () => {
+    // Dont allow duplicated names in groups
+    const existingCatInGroup = await first(
+      `SELECT id FROM categories WHERE cat_group = ? and UPPER(name) = ? LIMIT 1`,
+      [category.cat_group, category.name.toUpperCase()],
+    );
+    if (existingCatInGroup) {
+      throw new Error(
+        `Category ‘${category.name}’ already exists in group ‘${category.cat_group}’`,
+      );
+    }
+
     if (atEnd) {
       const lastCat = await first(`
         SELECT sort_order FROM categories WHERE tombstone = 0 ORDER BY sort_order DESC, id DESC LIMIT 1
diff --git a/upcoming-release-notes/1833.md b/upcoming-release-notes/1833.md
new file mode 100644
index 00000000000..acc02c1e41d
--- /dev/null
+++ b/upcoming-release-notes/1833.md
@@ -0,0 +1,6 @@
+---
+category: Enhancements
+authors: [Shazib]
+---
+
+Not allowed duplicated Category names in Category Groups
\ No newline at end of file