diff --git a/specs/electra/beacon-chain.md b/specs/electra/beacon-chain.md
index 9037dd74d..10c0eebf3 100644
--- a/specs/electra/beacon-chain.md
+++ b/specs/electra/beacon-chain.md
@@ -61,6 +61,7 @@
     - [Modified `get_next_sync_committee_indices`](#modified-get_next_sync_committee_indices)
   - [Beacon state mutators](#beacon-state-mutators)
     - [Modified `initiate_validator_exit`](#modified-initiate_validator_exit)
+    - [New `switch_to_compounding_validator`](#new-switch_to_compounding_validator)
     - [New `queue_excess_active_balance`](#new-queue_excess_active_balance)
     - [New `queue_entire_balance_and_reset_validator`](#new-queue_entire_balance_and_reset_validator)
     - [New `compute_exit_epoch_and_update_churn`](#new-compute_exit_epoch_and_update_churn)
@@ -96,6 +97,7 @@
       - [Deposit requests](#deposit-requests)
         - [New `process_deposit_request`](#new-process_deposit_request)
       - [Execution layer consolidation requests](#execution-layer-consolidation-requests)
+        - [New `is_valid_switch_to_compounding_request`](#new-is_valid_switch_to_compounding_request)
         - [New `process_consolidation_request`](#new-process_consolidation_request)
 - [Testing](#testing)
 
@@ -677,6 +679,15 @@ def initiate_validator_exit(state: BeaconState, index: ValidatorIndex) -> None:
     validator.withdrawable_epoch = Epoch(validator.exit_epoch + MIN_VALIDATOR_WITHDRAWABILITY_DELAY)
 ```
 
+#### New `switch_to_compounding_validator`
+
+```python
+def switch_to_compounding_validator(state: BeaconState, index: ValidatorIndex) -> None:
+    validator = state.validators[index]
+    validator.withdrawal_credentials = COMPOUNDING_WITHDRAWAL_PREFIX + validator.withdrawal_credentials[1:]
+    queue_excess_active_balance(state, index)
+```
+
 #### New `queue_excess_active_balance`
 
 ```python
@@ -1383,6 +1394,45 @@ def process_deposit_request(state: BeaconState, deposit_request: DepositRequest)
 
 ##### Execution layer consolidation requests
 
+###### New `is_valid_switch_to_compounding_request`
+
+```python
+def is_valid_switch_to_compounding_request(
+    state: BeaconState,
+    consolidation_request: ConsolidationRequest
+) -> bool:
+    # Switch to compounding requires source and target be equal
+    if consolidation_request.source_pubkey != consolidation_request.target_pubkey:
+        return False
+
+    # Verify pubkey exists
+    source_pubkey = consolidation_request.source_pubkey
+    validator_pubkeys = [v.pubkey for v in state.validators]
+    if source_pubkey not in validator_pubkeys:
+        return False
+
+    source_validator = state.validators[ValidatorIndex(validator_pubkeys.index(source_pubkey))]
+
+    # Verify request has been authorized
+    if source_validator.withdrawal_credentials[12:] != consolidation_request.source_address:
+        return False
+
+    # Verify source withdrawal credentials
+    if not has_eth1_withdrawal_credential(source_validator):
+        return False
+
+    # Verify the source is active
+    current_epoch = get_current_epoch(state)
+    if not is_active_validator(source_validator, current_epoch):
+        return False
+
+    # Verify exit for source have not been initiated
+    if source_validator.exit_epoch != FAR_FUTURE_EPOCH:
+        return False
+
+    return True
+```
+
 ###### New `process_consolidation_request`
 
 ```python
@@ -1390,6 +1440,16 @@ def process_consolidation_request(
     state: BeaconState,
     consolidation_request: ConsolidationRequest
 ) -> None:
+    if is_valid_switch_to_compounding_request(state, consolidation_request):
+        validator_pubkeys = [v.pubkey for v in state.validators]
+        request_source_pubkey = consolidation_request.source_pubkey
+        source_index = ValidatorIndex(validator_pubkeys.index(request_source_pubkey))
+        switch_to_compounding_validator(state, source_index)
+        return
+
+    # Verify that source != target, so a consolidation cannot be used as an exit.
+    if consolidation_request.source_pubkey == consolidation_request.target_pubkey:
+        return
     # If the pending consolidations queue is full, consolidation requests are ignored
     if len(state.pending_consolidations) == PENDING_CONSOLIDATIONS_LIMIT:
         return
@@ -1434,28 +1494,21 @@ def process_consolidation_request(
     if target_validator.exit_epoch != FAR_FUTURE_EPOCH:
         return
 
-    # Churn any target excess active balance of target and raise its max
-    if has_eth1_withdrawal_credential(target_validator):
-        state.validators[target_index].withdrawal_credentials = (
-            COMPOUNDING_WITHDRAWAL_PREFIX + target_validator.withdrawal_credentials[1:]
-        )
-        queue_excess_active_balance(state, target_index)
-
-    # Verify that source != target, so a consolidation cannot be used as an exit.
-    if source_index == target_index:
-        return
-
     # Initiate source validator exit and append pending consolidation
-    state.validators[source_index].exit_epoch = compute_consolidation_epoch_and_update_churn(
+    source_validator.exit_epoch = compute_consolidation_epoch_and_update_churn(
         state, source_validator.effective_balance
     )
-    state.validators[source_index].withdrawable_epoch = Epoch(
-        state.validators[source_index].exit_epoch + MIN_VALIDATOR_WITHDRAWABILITY_DELAY
+    source_validator.withdrawable_epoch = Epoch(
+        source_validator.exit_epoch + MIN_VALIDATOR_WITHDRAWABILITY_DELAY
     )
     state.pending_consolidations.append(PendingConsolidation(
         source_index=source_index,
         target_index=target_index
     ))
+
+    # Churn any target excess active balance of target and raise its max
+    if has_eth1_withdrawal_credential(target_validator):
+        switch_to_compounding_validator(state, target_index)
 ```
 
 ## Testing
diff --git a/tests/core/pyspec/eth2spec/test/electra/block_processing/test_process_consolidation_request.py b/tests/core/pyspec/eth2spec/test/electra/block_processing/test_process_consolidation_request.py
index dd4f0b944..4bc4617c8 100644
--- a/tests/core/pyspec/eth2spec/test/electra/block_processing/test_process_consolidation_request.py
+++ b/tests/core/pyspec/eth2spec/test/electra/block_processing/test_process_consolidation_request.py
@@ -66,6 +66,106 @@ def test_basic_consolidation_in_current_consolidation_epoch(spec, state):
     assert state.validators[source_index].exit_epoch == expected_exit_epoch
 
 
+@with_electra_and_later
+@with_presets([MINIMAL], "need sufficient consolidation churn limit")
+@with_custom_state(
+    balances_fn=scaled_churn_balances_exceed_activation_exit_churn_limit,
+    threshold_fn=default_activation_threshold,
+)
+@spec_test
+@single_phase
+def test_basic_consolidation_with_excess_target_balance(spec, state):
+    # This state has 256 validators each with 32 ETH in MINIMAL preset, 128 ETH consolidation churn
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    target_index = spec.get_active_validator_indices(state, current_epoch)[1]
+
+    # Set source to eth1 credentials
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    # Make consolidation with source address
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[target_index].pubkey,
+    )
+
+    # Set target to eth1 credentials
+    set_eth1_withdrawal_credential_with_balance(spec, state, target_index)
+
+    # Set earliest consolidation epoch to the expected exit epoch
+    expected_exit_epoch = spec.compute_activation_exit_epoch(current_epoch)
+    state.earliest_consolidation_epoch = expected_exit_epoch
+    consolidation_churn_limit = spec.get_consolidation_churn_limit(state)
+    # Set the consolidation balance to consume equal to churn limit
+    state.consolidation_balance_to_consume = consolidation_churn_limit
+
+    # Add excess balance
+    state.balances[target_index] = state.balances[target_index] + spec.EFFECTIVE_BALANCE_INCREMENT
+
+    yield from run_consolidation_processing(spec, state, consolidation)
+
+    # Check consolidation churn is decremented correctly
+    assert (
+        state.consolidation_balance_to_consume
+        == consolidation_churn_limit - spec.MIN_ACTIVATION_BALANCE
+    )
+    # Check exit epoch
+    assert state.validators[source_index].exit_epoch == expected_exit_epoch
+
+
+@with_electra_and_later
+@with_presets([MINIMAL], "need sufficient consolidation churn limit")
+@with_custom_state(
+    balances_fn=scaled_churn_balances_exceed_activation_exit_churn_limit,
+    threshold_fn=default_activation_threshold,
+)
+@spec_test
+@single_phase
+def test_basic_consolidation_with_excess_target_balance_and_compounding_credentials(spec, state):
+    # This state has 256 validators each with 32 ETH in MINIMAL preset, 128 ETH consolidation churn
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    target_index = spec.get_active_validator_indices(state, current_epoch)[1]
+
+    # Set source to eth1 credentials
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    # Make consolidation with source address
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[target_index].pubkey,
+    )
+
+    # Set target to eth1 credentials
+    set_compounding_withdrawal_credential(spec, state, target_index)
+
+    # Set earliest consolidation epoch to the expected exit epoch
+    expected_exit_epoch = spec.compute_activation_exit_epoch(current_epoch)
+    state.earliest_consolidation_epoch = expected_exit_epoch
+    consolidation_churn_limit = spec.get_consolidation_churn_limit(state)
+    # Set the consolidation balance to consume equal to churn limit
+    state.consolidation_balance_to_consume = consolidation_churn_limit
+
+    # Add excess balance
+    state.balances[target_index] = state.balances[target_index] + spec.EFFECTIVE_BALANCE_INCREMENT
+
+    yield from run_consolidation_processing(spec, state, consolidation)
+
+    # Check consolidation churn is decremented correctly
+    assert (
+        state.consolidation_balance_to_consume
+        == consolidation_churn_limit - spec.MIN_ACTIVATION_BALANCE
+    )
+    # Check exit epoch
+    assert state.validators[source_index].exit_epoch == expected_exit_epoch
+
+
 @with_electra_and_later
 @with_presets([MINIMAL], "need sufficient consolidation churn limit")
 @with_custom_state(
@@ -235,7 +335,7 @@ def test_basic_consolidation_with_compounding_credentials(spec, state):
         target_pubkey=state.validators[target_index].pubkey,
     )
 
-    # Set target to eth1 credentials
+    # Set target to compounding credentials
     set_compounding_withdrawal_credential(spec, state, target_index)
 
     # Set the consolidation balance to consume equal to churn limit
@@ -396,14 +496,8 @@ def test_consolidation_balance_through_two_churn_epochs(spec, state):
 
 
 @with_electra_and_later
-@with_presets([MINIMAL], "need sufficient consolidation churn limit")
-@with_custom_state(
-    balances_fn=scaled_churn_balances_exceed_activation_exit_churn_limit,
-    threshold_fn=default_activation_threshold,
-)
-@spec_test
-@single_phase
-def test_source_equals_target_switches_to_compounding(spec, state):
+@spec_state_test
+def test_basic_switch_to_compounding(spec, state):
     current_epoch = spec.get_current_epoch(state)
     source_index = spec.get_active_validator_indices(state, current_epoch)[0]
 
@@ -419,23 +513,14 @@ def test_source_equals_target_switches_to_compounding(spec, state):
         target_pubkey=state.validators[source_index].pubkey,
     )
 
-    # Check the the return condition
-    assert consolidation.source_pubkey == consolidation.target_pubkey
-
-    yield from run_consolidation_processing(
+    yield from run_switch_to_compounding_processing(
         spec, state, consolidation, success=True
     )
 
 
 @with_electra_and_later
-@with_presets([MINIMAL], "need sufficient consolidation churn limit")
-@with_custom_state(
-    balances_fn=scaled_churn_balances_exceed_activation_exit_churn_limit,
-    threshold_fn=default_activation_threshold,
-)
-@spec_test
-@single_phase
-def test_source_equals_target_switches_to_compounding_with_excess(spec, state):
+@spec_state_test
+def test_switch_to_compounding_with_excess(spec, state):
     current_epoch = spec.get_current_epoch(state)
     source_index = spec.get_active_validator_indices(state, current_epoch)[0]
 
@@ -453,10 +538,36 @@ def test_source_equals_target_switches_to_compounding_with_excess(spec, state):
         target_pubkey=state.validators[source_index].pubkey,
     )
 
-    # Check the the return condition
-    assert consolidation.source_pubkey == consolidation.target_pubkey
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=True
+    )
 
-    yield from run_consolidation_processing(
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_with_pending_consolidations_at_limit(spec, state):
+    state.pending_consolidations = [
+        spec.PendingConsolidation(source_index=0, target_index=1)
+    ] * spec.PENDING_CONSOLIDATIONS_LIMIT
+
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+
+    # Set source to eth1 credentials
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    # Add excess balance
+    state.balances[source_index] = state.balances[source_index] + spec.EFFECTIVE_BALANCE_INCREMENT
+    # Make consolidation from source to source
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+
+    yield from run_switch_to_compounding_processing(
         spec, state, consolidation, success=True
     )
 
@@ -831,6 +942,156 @@ def test_incorrect_unknown_target_pubkey(spec, state):
     )
 
 
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_exited_source(spec, state):
+    # Set up an otherwise correct request
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+
+    # exit source
+    spec.initiate_validator_exit(state, source_index)
+
+    # Check the the return condition
+    assert state.validators[source_index].exit_epoch != spec.FAR_FUTURE_EPOCH
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_inactive_source(spec, state):
+    # Set up an otherwise correct request
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+
+    # set source validator as not yet activated
+    state.validators[source_index].activation_epoch = spec.FAR_FUTURE_EPOCH
+
+    # Check the the return condition
+    assert not spec.is_active_validator(state.validators[source_index], current_epoch)
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_source_bls_withdrawal_credential(spec, state):
+    # Set up a correct request, but source does have
+    # a bls withdrawal credential
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+
+    # Check the the return condition
+    assert not spec.has_eth1_withdrawal_credential(state.validators[source_index])
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_source_coumpounding_withdrawal_credential(spec, state):
+    # Set up a correct request, but source does have
+    # a compounding withdrawal credential and excess balance
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+    set_compounding_withdrawal_credential(spec, state, source_index)
+    state.balances[source_index] = spec.MIN_ACTIVATION_BALANCE + spec.EFFECTIVE_BALANCE_INCREMENT
+
+    # Check the the return condition
+    assert not spec.has_eth1_withdrawal_credential(state.validators[source_index])
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_not_authorized(spec, state):
+    # Set up an otherwise correct request
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    # Make request with different source address
+    consolidation = spec.ConsolidationRequest(
+        source_address=b"\x33" * 20,
+        source_pubkey=state.validators[source_index].pubkey,
+        target_pubkey=state.validators[source_index].pubkey,
+    )
+
+    # Check the the return condition
+    assert not state.validators[source_index].withdrawal_credentials[12:] == consolidation.source_address
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
+@with_electra_and_later
+@spec_state_test
+def test_switch_to_compounding_unknown_source_pubkey(spec, state):
+    # Set up an otherwise correct request
+    current_epoch = spec.get_current_epoch(state)
+    source_index = spec.get_active_validator_indices(state, current_epoch)[0]
+    source_address = b"\x22" * 20
+    set_eth1_withdrawal_credential_with_balance(
+        spec, state, source_index, address=source_address
+    )
+    # Make consolidation with different source pubkey
+    consolidation = spec.ConsolidationRequest(
+        source_address=source_address,
+        source_pubkey=b"\x00" * 48,
+        target_pubkey=b"\x00" * 48,
+    )
+
+    # Check the the return condition
+    assert not state.validators[source_index].pubkey == consolidation.source_pubkey
+
+    yield from run_switch_to_compounding_processing(
+        spec, state, consolidation, success=False
+    )
+
+
 def run_consolidation_processing(spec, state, consolidation, success=True):
     """
     Run ``process_consolidation``, yielding:
@@ -865,12 +1126,28 @@ def run_consolidation_processing(spec, state, consolidation, success=True):
         # Check source has execution credentials
         assert spec.has_execution_withdrawal_credential(source_validator)
         # Check target has compounding credentials
-        assert spec.has_execution_withdrawal_credential(target_validator)
+        assert spec.has_compounding_withdrawal_credential(state.validators[target_index])
         # Check source address in the consolidation fits the withdrawal credentials
         assert source_validator.withdrawal_credentials[12:] == consolidation.source_address
+        # Check source and target are not the same
+        assert source_index != target_index
         # Check source and target were not exiting
         assert pre_exit_epoch_source == spec.FAR_FUTURE_EPOCH
         assert pre_exit_epoch_target == spec.FAR_FUTURE_EPOCH
+        # Check source is now exiting
+        assert state.validators[source_index].exit_epoch < spec.FAR_FUTURE_EPOCH
+        # Check that the exit epoch matches earliest_consolidation_epoch
+        assert state.validators[source_index].exit_epoch == state.earliest_consolidation_epoch
+        # Check that the withdrawable_epoch is set correctly
+        assert state.validators[source_index].withdrawable_epoch == (
+            state.validators[source_index].exit_epoch + spec.config.MIN_VALIDATOR_WITHDRAWABILITY_DELAY
+        )
+        # Check that the correct consolidation has been appended
+        expected_new_pending_consolidation = spec.PendingConsolidation(
+            source_index=source_index,
+            target_index=target_index,
+        )
+        assert state.pending_consolidations == pre_pending_consolidations + [expected_new_pending_consolidation]
         # Check excess balance is queued if the target switched to compounding
         if pre_target_withdrawal_credentials[:1] == spec.ETH1_ADDRESS_WITHDRAWAL_PREFIX:
             assert state.validators[target_index].withdrawal_credentials == (
@@ -879,23 +1156,58 @@ def run_consolidation_processing(spec, state, consolidation, success=True):
             if pre_target_balance > spec.MIN_ACTIVATION_BALANCE:
                 assert state.pending_balance_deposits == [spec.PendingBalanceDeposit(
                     index=target_index, amount=(pre_target_balance - spec.MIN_ACTIVATION_BALANCE))]
-        # If source and target are same, no consolidation must have been initiated
-        if source_index == target_index:
-            assert state.validators[source_index].exit_epoch == spec.FAR_FUTURE_EPOCH
-            assert state.pending_consolidations == []
         else:
-            # Check source is now exiting
-            assert state.validators[source_index].exit_epoch < spec.FAR_FUTURE_EPOCH
-            # Check that the exit epoch matches earliest_consolidation_epoch
-            assert state.validators[source_index].exit_epoch == state.earliest_consolidation_epoch
-            # Check that the withdrawable_epoch is set correctly
-            assert state.validators[source_index].withdrawable_epoch == (
-                state.validators[source_index].exit_epoch + spec.config.MIN_VALIDATOR_WITHDRAWABILITY_DELAY)
-            # Check that the correct consolidation has been appended
-            expected_new_pending_consolidation = spec.PendingConsolidation(
-                source_index=source_index,
-                target_index=target_index,
-            )
-            assert state.pending_consolidations == pre_pending_consolidations + [expected_new_pending_consolidation]
+            assert state.balances[target_index] == pre_target_balance
+    else:
+        assert pre_state == state
+
+
+def run_switch_to_compounding_processing(spec, state, consolidation, success=True):
+    """
+    Run ``process_consolidation``, yielding:
+      - pre-state ('pre')
+      - consolidation_request ('consolidation_request')
+      - post-state ('post').
+    If ``success == False``, ``process_consolidation_request`` would return without any state change.
+    """
+
+    if success:
+        validator_pubkeys = [v.pubkey for v in state.validators]
+        source_index = spec.ValidatorIndex(validator_pubkeys.index(consolidation.source_pubkey))
+        target_index = spec.ValidatorIndex(validator_pubkeys.index(consolidation.target_pubkey))
+        source_validator = state.validators[source_index]
+        pre_exit_epoch = source_validator.exit_epoch
+        pre_pending_consolidations = state.pending_consolidations.copy()
+        pre_withdrawal_credentials = source_validator.withdrawal_credentials
+        pre_balance = state.balances[source_index]
+    else:
+        pre_state = state.copy()
+
+    yield 'pre', state
+    yield 'consolidation_request', consolidation
+
+    spec.process_consolidation_request(state, consolidation)
+
+    yield 'post', state
+
+    if success:
+        # Check that source and target are same
+        assert source_index == target_index
+        # Check that the credentials before the switch are of ETH1 type
+        assert pre_withdrawal_credentials[:1] == spec.ETH1_ADDRESS_WITHDRAWAL_PREFIX
+        # Check source address in the consolidation fits the withdrawal credentials
+        assert state.validators[source_index].withdrawal_credentials[12:] == consolidation.source_address
+        # Check that the source has switched to compounding
+        assert state.validators[source_index].withdrawal_credentials == (
+            spec.COMPOUNDING_WITHDRAWAL_PREFIX + pre_withdrawal_credentials[1:]
+        )
+        # Check excess balance is queued
+        assert state.balances[source_index] == spec.MIN_ACTIVATION_BALANCE
+        if pre_balance > spec.MIN_ACTIVATION_BALANCE:
+            assert state.pending_balance_deposits == [spec.PendingBalanceDeposit(
+                index=source_index, amount=(pre_balance - spec.MIN_ACTIVATION_BALANCE))]
+        # Check no consolidation has been initiated
+        assert state.validators[source_index].exit_epoch == spec.FAR_FUTURE_EPOCH
+        assert state.pending_consolidations == pre_pending_consolidations
     else:
         assert pre_state == state
diff --git a/tests/core/pyspec/eth2spec/test/helpers/withdrawals.py b/tests/core/pyspec/eth2spec/test/helpers/withdrawals.py
index 0ce476c86..6247c5476 100644
--- a/tests/core/pyspec/eth2spec/test/helpers/withdrawals.py
+++ b/tests/core/pyspec/eth2spec/test/helpers/withdrawals.py
@@ -30,7 +30,10 @@ def set_validator_fully_withdrawable(spec, state, index, withdrawable_epoch=None
 
 def set_eth1_withdrawal_credential_with_balance(spec, state, index, balance=None, address=None):
     if balance is None:
-        balance = spec.MAX_EFFECTIVE_BALANCE
+        if is_post_electra(spec):
+            balance = spec.MIN_ACTIVATION_BALANCE
+        else:
+            balance = spec.MAX_EFFECTIVE_BALANCE
     if address is None:
         address = b'\x11' * 20