diff --git a/src/lib/components/admin/Settings/Models.svelte b/src/lib/components/admin/Settings/Models.svelte
index 7bd287e1ea..b3bc8b677a 100644
--- a/src/lib/components/admin/Settings/Models.svelte
+++ b/src/lib/components/admin/Settings/Models.svelte
@@ -33,8 +33,8 @@
 	import ModelEditor from '$lib/components/workspace/Models/ModelEditor.svelte';
 	import { toast } from 'svelte-sonner';
 	import ConfirmDialog from '$lib/components/common/ConfirmDialog.svelte';
-	import ModelSettingsModal from './Models/ModelSettingsModal.svelte';
 	import ManageModelsModal from './Models/ManageModelsModal.svelte';
+	import ModelDefaultsPanel from './Models/ModelDefaultsPanel.svelte';
 	import ModelMenu from '$lib/components/admin/Settings/Models/ModelMenu.svelte';
 	import EllipsisHorizontal from '$lib/components/icons/EllipsisHorizontal.svelte';
 	import EyeSlash from '$lib/components/icons/EyeSlash.svelte';
@@ -47,7 +47,6 @@
 	import Download from '$lib/components/icons/Download.svelte';
 	import EllipsisVertical from '$lib/components/icons/EllipsisVertical.svelte';
 	import Wrench from '$lib/components/icons/Wrench.svelte';
-	import SettingsIcon from '$lib/components/icons/Settings.svelte';
 	import { WEBUI_API_BASE_URL } from '$lib/constants';
 	import { goto } from '$app/navigation';
 
@@ -83,11 +82,13 @@
 	let filteredModels = [];
 	let selectedModelId = null;
 
-	let showConfigModal = false;
 	let showManageModal = false;
 	let showResetModal = false;
 	let savingModelOrder = false;
+	let savingModelsSettings = false;
 	let modelOrderDirty = false;
+	let modelDefaultsPanel = null;
+	let modelDefaultsDirty = false;
 
 	let viewOption = ''; // '' = All, 'enabled', 'disabled', 'visible', 'hidden'
 	let tags: string[] = [];
@@ -322,6 +323,20 @@
 		savingModelOrder = false;
 	};
 
+	const saveModelsSettings = async () => {
+		savingModelsSettings = true;
+
+		if (modelOrderDirty) {
+			await saveModelOrder(modelOrderList);
+		}
+
+		if (modelDefaultsDirty) {
+			await modelDefaultsPanel?.save();
+		}
+
+		savingModelsSettings = false;
+	};
+
 	const saveModelDefaults = async (
 		nextDefaultModelIds: string[],
 		nextDefaultPinnedModelIds: string[],
@@ -649,7 +664,6 @@
 	}}
 />
 
-<ModelSettingsModal bind:show={showConfigModal} initHandler={init} />
 <ManageModelsModal bind:show={showManageModal} />
 
 {#if models !== null}
@@ -662,18 +676,6 @@
 						{filteredModels.length}
 					</span>
 				</h2>
-
-				<Tooltip content={$i18n.t('Settings')}>
-					<button
-						type="button"
-						class="flex h-6 w-6 items-center justify-center rounded-lg text-gray-400 transition-colors duration-75 hover:text-gray-700 dark:text-gray-600 dark:hover:text-gray-300"
-						on:click={() => {
-							showConfigModal = true;
-						}}
-					>
-						<SettingsIcon className="size-3.5" />
-					</button>
-				</Tooltip>
 			</div>
 
 			{#if $user?.role === 'admin'}
@@ -714,6 +716,12 @@
 			{/if}
 
 			<div class="flex min-h-0 flex-1 flex-col space-y-1">
+				<ModelDefaultsPanel
+					bind:this={modelDefaultsPanel}
+					bind:dirty={modelDefaultsDirty}
+					initHandler={init}
+				/>
+
 				<div class="flex h-8 shrink-0 items-center w-full gap-2">
 					<div class="flex min-w-0 flex-1 items-center">
 						<div class=" self-center ml-1 mr-3">
@@ -1105,13 +1113,15 @@
 					<button
 						class="flex items-center gap-2 px-3.5 py-1.5 text-sm font-normal bg-black hover:bg-gray-900 text-white dark:bg-white dark:text-black dark:hover:bg-gray-100 transition rounded-full disabled:cursor-not-allowed disabled:opacity-40"
 						type="button"
-						disabled={!modelOrderDirty || savingModelOrder}
+						disabled={(!modelOrderDirty && !modelDefaultsDirty) ||
+							savingModelOrder ||
+							savingModelsSettings}
 						on:click={async () => {
-							await saveModelOrder(modelOrderList);
+							await saveModelsSettings();
 						}}
 					>
 						{$i18n.t('Save')}
-						{#if savingModelOrder}
+						{#if savingModelOrder || savingModelsSettings}
 							<span class="shrink-0">
 								<Spinner />
 							</span>
diff --git a/src/lib/components/admin/Settings/Models/ModelDefaultsPanel.svelte b/src/lib/components/admin/Settings/Models/ModelDefaultsPanel.svelte
new file mode 100644
index 0000000000..11043ed411
--- /dev/null
+++ b/src/lib/components/admin/Settings/Models/ModelDefaultsPanel.svelte
@@ -0,0 +1,242 @@
+<script>
+	import { getContext, onMount, tick } from 'svelte';
+	import { toast } from 'svelte-sonner';
+
+	const i18n = getContext('i18n');
+
+	import { config as appConfig } from '$lib/stores';
+	import { DEFAULT_CAPABILITIES } from '$lib/constants';
+	import { getModelsConfig, setModelsConfig, setDefaultPromptSuggestions } from '$lib/apis/configs';
+	import { getBackendConfig } from '$lib/apis';
+
+	import AdvancedParams from '$lib/components/chat/Settings/Advanced/AdvancedParams.svelte';
+	import Capabilities from '$lib/components/workspace/Models/Capabilities.svelte';
+	import DefaultFeatures from '$lib/components/workspace/Models/DefaultFeatures.svelte';
+	import BuiltinTools from '$lib/components/workspace/Models/BuiltinTools.svelte';
+	import PromptSuggestions from '$lib/components/workspace/Models/PromptSuggestions.svelte';
+
+	export let initHandler = () => {};
+	export let dirty = false;
+
+	let config = null;
+	let modelIds = [];
+	let loading = false;
+	let expanded = false;
+	let showCapabilities = false;
+	let showParameters = false;
+	let showPromptSuggestions = false;
+	let savedSnapshot = '';
+
+	let defaultCapabilities = {};
+	let defaultFeatureIds = [];
+	let defaultParams = {};
+	let builtinTools = {};
+	let promptSuggestions = [];
+
+	$: configuredParams = Object.entries(defaultParams ?? {}).filter(
+		([_, value]) => value !== null && value !== '' && value !== undefined
+	);
+	$: enabledCapabilities = Object.entries(defaultCapabilities ?? {}).filter(([_, value]) => value);
+	$: availableFeatures = enabledCapabilities
+		.filter(([key]) => ['web_search', 'code_interpreter', 'image_generation'].includes(key))
+		.map(([key]) => key);
+
+	const getSnapshot = () =>
+		JSON.stringify({
+			defaultCapabilities,
+			defaultFeatureIds,
+			defaultParams: Object.fromEntries(configuredParams),
+			builtinTools,
+			promptSuggestions: promptSuggestions.filter((p) => p.content !== '')
+		});
+
+	const updateDirty = async () => {
+		await tick();
+		dirty = savedSnapshot !== '' && getSnapshot() !== savedSnapshot;
+	};
+
+	const init = async () => {
+		loading = true;
+		config = await getModelsConfig(localStorage.token);
+
+		modelIds = config?.MODEL_ORDER_LIST || [];
+
+		const savedMeta = config?.DEFAULT_MODEL_METADATA;
+		if (savedMeta && Object.keys(savedMeta).length > 0) {
+			defaultCapabilities = savedMeta.capabilities ?? { ...DEFAULT_CAPABILITIES };
+			defaultFeatureIds = savedMeta.defaultFeatureIds ?? [];
+			builtinTools = savedMeta.builtinTools ?? {};
+		} else {
+			defaultCapabilities = { ...DEFAULT_CAPABILITIES };
+			defaultFeatureIds = [];
+			builtinTools = {};
+		}
+
+		defaultParams = config?.DEFAULT_MODEL_PARAMS ?? {};
+		promptSuggestions = $appConfig?.default_prompt_suggestions ?? [];
+		savedSnapshot = getSnapshot();
+		dirty = false;
+		loading = false;
+	};
+
+	export const save = async () => {
+		if (loading || !dirty) {
+			return true;
+		}
+
+		const metadata = {
+			capabilities: defaultCapabilities,
+			...(defaultFeatureIds.length > 0 ? { defaultFeatureIds } : {}),
+			...(Object.keys(builtinTools).length > 0 ? { builtinTools } : {})
+		};
+
+		const res = await setModelsConfig(localStorage.token, {
+			DEFAULT_MODELS: config?.DEFAULT_MODELS ?? null,
+			DEFAULT_PINNED_MODELS: config?.DEFAULT_PINNED_MODELS ?? null,
+			MODEL_ORDER_LIST: modelIds,
+			DEFAULT_MODEL_METADATA: metadata,
+			DEFAULT_MODEL_PARAMS: Object.fromEntries(configuredParams)
+		}).catch((error) => {
+			toast.error(`${error}`);
+			return null;
+		});
+
+		if (res) {
+			config = res;
+			promptSuggestions = promptSuggestions.filter((p) => p.content !== '');
+			promptSuggestions = await setDefaultPromptSuggestions(localStorage.token, promptSuggestions);
+			await appConfig.set(await getBackendConfig());
+			savedSnapshot = getSnapshot();
+			dirty = false;
+
+			toast.success($i18n.t('Models configuration saved successfully'));
+			initHandler();
+			return true;
+		} else {
+			toast.error($i18n.t('Failed to save models configuration'));
+			return false;
+		}
+	};
+
+	onMount(async () => {
+		await init();
+	});
+</script>
+
+<div class="shrink-0">
+	<div class="flex items-center justify-between gap-4 py-0.5">
+		<button
+			class="min-w-0 flex-1 text-left text-xs text-gray-600 transition hover:text-gray-900 dark:text-gray-400 dark:hover:text-gray-100"
+			type="button"
+			on:click={() => {
+				expanded = !expanded;
+			}}
+		>
+			{$i18n.t('Model Defaults')}
+		</button>
+
+		<button
+			class="shrink-0 text-[0.6875rem] text-gray-400 transition hover:text-gray-700 dark:text-gray-600 dark:hover:text-gray-300"
+			type="button"
+			on:click={() => {
+				expanded = !expanded;
+			}}
+		>
+			{expanded ? $i18n.t('Close') : $i18n.t('Configure')}
+		</button>
+	</div>
+
+	{#if expanded}
+		{#if loading}
+			<div class="py-1 text-xs text-gray-400 dark:text-gray-600">{$i18n.t('Loading...')}</div>
+		{:else}
+			<div class="space-y-1 mt-0.5">
+				<div>
+					<button
+						class="flex w-full items-center justify-between gap-4 py-0.5 text-left"
+						type="button"
+						on:click={() => {
+							showCapabilities = !showCapabilities;
+						}}
+					>
+						<span class="text-xs text-gray-600 dark:text-gray-400">
+							{$i18n.t('Model Capabilities')}
+						</span>
+						<span class="text-[0.6875rem] text-gray-400 dark:text-gray-600">
+							{showCapabilities ? $i18n.t('Close') : $i18n.t('Configure')}
+						</span>
+					</button>
+
+					{#if showCapabilities}
+						<div class="pb-2" on:click={updateDirty} on:change={updateDirty}>
+							<Capabilities bind:capabilities={defaultCapabilities} />
+
+							{#if availableFeatures.length > 0}
+								<div class="mt-4">
+									<DefaultFeatures {availableFeatures} bind:featureIds={defaultFeatureIds} />
+								</div>
+							{/if}
+
+							{#if defaultCapabilities.builtin_tools}
+								<div class="mt-4">
+									<BuiltinTools bind:builtinTools />
+								</div>
+							{/if}
+						</div>
+					{/if}
+				</div>
+
+				<div>
+					<button
+						class="flex w-full items-center justify-between gap-4 py-0.5 text-left"
+						type="button"
+						on:click={() => {
+							showParameters = !showParameters;
+						}}
+					>
+						<span class="text-xs text-gray-600 dark:text-gray-400">
+							{$i18n.t('Model Parameters')}
+						</span>
+						<span class="text-[0.6875rem] text-gray-400 dark:text-gray-600">
+							{showParameters ? $i18n.t('Close') : $i18n.t('Configure')}
+						</span>
+					</button>
+
+					{#if showParameters}
+						<div
+							class="max-h-[24rem] overflow-y-auto pb-2 pr-1 scrollbar-hover"
+							on:click={updateDirty}
+							on:change={updateDirty}
+							on:input={updateDirty}
+						>
+							<AdvancedParams admin={true} custom={true} bind:params={defaultParams} />
+						</div>
+					{/if}
+				</div>
+
+				<div>
+					<button
+						class="flex w-full items-center justify-between gap-4 py-0.5 text-left"
+						type="button"
+						on:click={() => {
+							showPromptSuggestions = !showPromptSuggestions;
+						}}
+					>
+						<span class="text-xs text-gray-600 dark:text-gray-400">
+							{$i18n.t('Prompt Suggestions')}
+						</span>
+						<span class="text-[0.6875rem] text-gray-400 dark:text-gray-600">
+							{showPromptSuggestions ? $i18n.t('Close') : $i18n.t('Configure')}
+						</span>
+					</button>
+
+					{#if showPromptSuggestions}
+						<div class="pb-2" on:click={updateDirty} on:change={updateDirty} on:input={updateDirty}>
+							<PromptSuggestions bind:promptSuggestions />
+						</div>
+					{/if}
+				</div>
+			</div>
+		{/if}
+	{/if}
+</div>
diff --git a/src/lib/components/admin/Settings/Models/ModelSettingsModal.svelte b/src/lib/components/admin/Settings/Models/ModelSettingsModal.svelte
deleted file mode 100644
index df1caaeea0..0000000000
--- a/src/lib/components/admin/Settings/Models/ModelSettingsModal.svelte
+++ /dev/null
@@ -1,295 +0,0 @@
-<script>
-	import { toast } from 'svelte-sonner';
-
-	import { getContext, onMount } from 'svelte';
-	const i18n = getContext('i18n');
-
-	import { config as _config } from '$lib/stores';
-	import { DEFAULT_CAPABILITIES } from '$lib/constants';
-	import { getModelsConfig, setModelsConfig, setDefaultPromptSuggestions } from '$lib/apis/configs';
-	import { getBackendConfig } from '$lib/apis';
-
-	import Modal from '$lib/components/common/Modal.svelte';
-	import Spinner from '$lib/components/common/Spinner.svelte';
-	import ChevronUp from '$lib/components/icons/ChevronUp.svelte';
-	import ChevronDown from '$lib/components/icons/ChevronDown.svelte';
-	import XMark from '$lib/components/icons/XMark.svelte';
-	import AdvancedParams from '$lib/components/chat/Settings/Advanced/AdvancedParams.svelte';
-
-	import Capabilities from '$lib/components/workspace/Models/Capabilities.svelte';
-	import DefaultFeatures from '$lib/components/workspace/Models/DefaultFeatures.svelte';
-	import BuiltinTools from '$lib/components/workspace/Models/BuiltinTools.svelte';
-	import PromptSuggestions from '$lib/components/workspace/Models/PromptSuggestions.svelte';
-
-	import AdjustmentsHorizontal from '$lib/components/icons/AdjustmentsHorizontal.svelte';
-
-	export let show = false;
-	export let initHandler = () => {};
-
-	let config = null;
-
-	let modelIds = [];
-
-	let loading = false;
-	let showDefaultCapabilities = false;
-	let showDefaultParams = false;
-	let showDefaultPromptSuggestions = false;
-
-	let defaultCapabilities = {};
-	let defaultFeatureIds = [];
-	let defaultParams = {};
-	let builtinTools = {};
-	let promptSuggestions = [];
-
-	$: if (show) {
-		init();
-	}
-	const init = async () => {
-		config = await getModelsConfig(localStorage.token);
-
-		modelIds = config.MODEL_ORDER_LIST || [];
-
-		const savedMeta = config?.DEFAULT_MODEL_METADATA;
-		if (savedMeta && Object.keys(savedMeta).length > 0) {
-			defaultCapabilities = savedMeta.capabilities ?? { ...DEFAULT_CAPABILITIES };
-			defaultFeatureIds = savedMeta.defaultFeatureIds ?? [];
-			builtinTools = savedMeta.builtinTools ?? {};
-		} else {
-			defaultCapabilities = { ...DEFAULT_CAPABILITIES };
-			defaultFeatureIds = [];
-			builtinTools = {};
-		}
-		defaultParams = config?.DEFAULT_MODEL_PARAMS ?? {};
-
-		promptSuggestions = $_config?.default_prompt_suggestions ?? [];
-	};
-	const submitHandler = async () => {
-		loading = true;
-
-		const metadata = {
-			capabilities: defaultCapabilities,
-			...(defaultFeatureIds.length > 0 ? { defaultFeatureIds } : {}),
-			...(Object.keys(builtinTools).length > 0 ? { builtinTools } : {})
-		};
-
-		const res = await setModelsConfig(localStorage.token, {
-			DEFAULT_MODELS: config?.DEFAULT_MODELS ?? null,
-			DEFAULT_PINNED_MODELS: config?.DEFAULT_PINNED_MODELS ?? null,
-			MODEL_ORDER_LIST: modelIds,
-			DEFAULT_MODEL_METADATA: metadata,
-			DEFAULT_MODEL_PARAMS: Object.fromEntries(
-				Object.entries(defaultParams).filter(([_, v]) => v !== null && v !== '' && v !== undefined)
-			)
-		});
-
-		if (res) {
-			promptSuggestions = promptSuggestions.filter((p) => p.content !== '');
-			promptSuggestions = await setDefaultPromptSuggestions(localStorage.token, promptSuggestions);
-			await _config.set(await getBackendConfig());
-
-			toast.success($i18n.t('Models configuration saved successfully'));
-			initHandler();
-			show = false;
-		} else {
-			toast.error($i18n.t('Failed to save models configuration'));
-		}
-
-		loading = false;
-	};
-
-	onMount(async () => {
-		init();
-	});
-</script>
-
-<Modal size="lg" bind:show className="bg-white dark:bg-gray-900 rounded-4xl">
-	<div>
-		<div class=" flex justify-between dark:text-gray-100 px-4 pt-3 pb-1">
-			<div class=" text-sm font-medium self-center">
-				{$i18n.t('Settings')}
-			</div>
-			<button
-				class="self-center rounded-lg p-1 text-gray-500 transition hover:bg-gray-50 hover:text-gray-700 dark:text-gray-400 dark:hover:bg-gray-800 dark:hover:text-gray-200"
-				on:click={() => {
-					show = false;
-				}}
-			>
-				<XMark className={'size-4'} />
-			</button>
-		</div>
-
-		<div class="flex flex-col md:flex-row w-full px-4 pb-4 md:space-x-4 dark:text-gray-200">
-			<div class=" flex flex-col w-full sm:flex-row sm:justify-center sm:space-x-6">
-				{#if config}
-					<form
-						class="flex flex-col w-full"
-						on:submit|preventDefault={() => {
-							submitHandler();
-						}}
-					>
-						<div class="flex flex-col lg:flex-row w-full h-full pb-2 lg:space-x-4">
-							<div
-								id="admin-settings-tabs-container"
-								class="tabs flex flex-row overflow-x-auto gap-2.5 max-w-full lg:gap-1 lg:flex-col lg:flex-none lg:w-40 dark:text-gray-200 text-sm font-normal text-left scrollbar-none"
-							>
-								<button
-									class="px-0.5 py-1 max-w-fit w-fit rounded-lg flex-1 lg:flex-none flex text-right transition"
-									type="button"
-								>
-									<div class=" self-center mr-2">
-										<AdjustmentsHorizontal />
-									</div>
-									<div class=" self-center">{$i18n.t('Defaults')}</div>
-								</button>
-							</div>
-
-							<div class="flex-1 mt-1 lg:mt-1 lg:h-[30rem] lg:max-h-[30rem] flex flex-col min-w-0">
-								<div class="w-full h-full overflow-y-auto overflow-x-hidden scrollbar-hidden">
-									<div>
-										<button
-											class="flex w-full justify-between items-center"
-											type="button"
-											on:click={() => {
-												showDefaultPromptSuggestions = !showDefaultPromptSuggestions;
-											}}
-										>
-											<div class="text-xs text-gray-500 font-normal">
-												{$i18n.t('Prompt Suggestions')}
-											</div>
-											<div>
-												{#if showDefaultPromptSuggestions}
-													<ChevronUp className="size-3" />
-												{:else}
-													<ChevronDown className="size-3" />
-												{/if}
-											</div>
-										</button>
-
-										{#if showDefaultPromptSuggestions}
-											<div class="mt-2">
-												<PromptSuggestions bind:promptSuggestions />
-
-												{#if promptSuggestions.length > 0}
-													<div class="text-xs text-left w-full mt-2 text-gray-500">
-														{$i18n.t(
-															'Adjusting these settings will apply changes universally to all users.'
-														)}
-													</div>
-												{/if}
-											</div>
-										{/if}
-									</div>
-
-									<hr class=" border-gray-50 dark:border-gray-800/10 my-2.5 w-full" />
-
-									<div>
-										<button
-											class="flex w-full justify-between items-center"
-											type="button"
-											on:click={() => {
-												showDefaultCapabilities = !showDefaultCapabilities;
-											}}
-										>
-											<div class="text-xs text-gray-500 font-normal">
-												{$i18n.t('Model Capabilities')}
-											</div>
-											<div>
-												{#if showDefaultCapabilities}
-													<ChevronUp className="size-3" />
-												{:else}
-													<ChevronDown className="size-3" />
-												{/if}
-											</div>
-										</button>
-
-										{#if showDefaultCapabilities}
-											<div class="mt-2">
-												<Capabilities bind:capabilities={defaultCapabilities} />
-
-												{#if Object.keys(defaultCapabilities).filter((key) => defaultCapabilities[key]).length > 0}
-													{@const availableFeatures = Object.entries(defaultCapabilities)
-														.filter(
-															([key, value]) =>
-																value &&
-																['web_search', 'code_interpreter', 'image_generation'].includes(key)
-														)
-														.map(([key, value]) => key)}
-
-													{#if availableFeatures.length > 0}
-														<div class="mt-4">
-															<DefaultFeatures
-																{availableFeatures}
-																bind:featureIds={defaultFeatureIds}
-															/>
-														</div>
-													{/if}
-												{/if}
-
-												{#if defaultCapabilities.builtin_tools}
-													<div class="mt-4">
-														<BuiltinTools bind:builtinTools />
-													</div>
-												{/if}
-											</div>
-										{/if}
-									</div>
-
-									<hr class=" border-gray-50 dark:border-gray-800/10 my-2.5 w-full" />
-
-									<div>
-										<button
-											class="flex w-full justify-between items-center"
-											type="button"
-											on:click={() => {
-												showDefaultParams = !showDefaultParams;
-											}}
-										>
-											<div class="text-xs text-gray-500 font-normal">
-												{$i18n.t('Model Parameters')}
-											</div>
-											<div>
-												{#if showDefaultParams}
-													<ChevronUp className="size-3" />
-												{:else}
-													<ChevronDown className="size-3" />
-												{/if}
-											</div>
-										</button>
-
-										{#if showDefaultParams}
-											<div class="mt-2">
-												<AdvancedParams admin={true} custom={true} bind:params={defaultParams} />
-											</div>
-										{/if}
-									</div>
-								</div>
-
-								<div class="flex justify-end items-center pt-3 text-sm font-normal gap-1.5">
-									<button
-										class="px-3.5 py-1.5 text-sm font-normal bg-black hover:bg-gray-900 text-white dark:bg-white dark:text-black dark:hover:bg-gray-100 transition rounded-full flex items-center gap-2 whitespace-nowrap {loading
-											? ' cursor-not-allowed'
-											: ''}"
-										type="submit"
-										disabled={loading}
-									>
-										{$i18n.t('Save')}
-
-										{#if loading}
-											<span class="shrink-0">
-												<Spinner />
-											</span>
-										{/if}
-									</button>
-								</div>
-							</div>
-						</div>
-					</form>
-				{:else}
-					<div>
-						<Spinner className="size-5" />
-					</div>
-				{/if}
-			</div>
-		</div>
-	</div>
-</Modal>