diff --git a/src/bin/bulkloader.rs b/src/bin/bulkloader.rs
index af276ea..77d9e74 100644
--- a/src/bin/bulkloader.rs
+++ b/src/bin/bulkloader.rs
@@ -20,7 +20,7 @@ pub fn main() -> Result<()> {
     let _trace_sub = tracing_subscriber::fmt::try_init();
     println!("Nostr-rs-relay Bulk Loader");
     // check for a database file, or create one.
-    let settings = config::Settings::new(&None);
+    let settings = config::Settings::new(&None)?;
     if !Path::new(&settings.database.data_directory).is_dir() {
         info!("Database directory does not exist");
         return Err(Error::DatabaseDirError);
diff --git a/src/config.rs b/src/config.rs
index c5ead74..9222821 100644
--- a/src/config.rs
+++ b/src/config.rs
@@ -1,10 +1,8 @@
 //! Configuration file and settings management
+use crate::payment::Processor;
 use config::{Config, ConfigError, File};
 use serde::{Deserialize, Serialize};
 use std::time::Duration;
-use tracing::warn;
-
-use crate::payment::Processor;
 
 #[derive(Debug, Serialize, Deserialize, Clone)]
 #[allow(unused)]
@@ -193,17 +191,23 @@ pub struct Settings {
 }
 
 impl Settings {
-    #[must_use]
-    pub fn new(config_file_name: &Option<String>) -> Self {
+    pub fn new(config_file_name: &Option<String>) -> Result<Self, ConfigError> {
         let default_settings = Self::default();
         // attempt to construct settings with file
         let from_file = Self::new_from_default(&default_settings, config_file_name);
         match from_file {
-            Ok(f) => f,
             Err(e) => {
-                warn!("Error reading config file ({:?})", e);
-                default_settings
+                // pass up the parse error if the config file was specified,
+                // otherwise use the default config (with a warning).
+                if config_file_name.is_some() {
+                    Err(e)
+                } else {
+                    eprintln!("Error reading config file ({:?})", e);
+                    eprintln!("WARNING: Default configuration settings will be used");
+                    Ok(default_settings)
+                }
             }
+            ok => ok,
         }
     }
 
diff --git a/src/main.rs b/src/main.rs
index 41a904b..ee92534 100644
--- a/src/main.rs
+++ b/src/main.rs
@@ -4,12 +4,12 @@ use console_subscriber::ConsoleLayer;
 use nostr_rs_relay::cli::CLIArgs;
 use nostr_rs_relay::config;
 use nostr_rs_relay::server::start_server;
+use std::fs;
+use std::path::Path;
+use std::process;
 use std::sync::mpsc as syncmpsc;
 use std::sync::mpsc::{Receiver as MpscReceiver, Sender as MpscSender};
 use std::thread;
-use std::path::Path;
-use std::fs;
-use std::process;
 #[cfg(not(target_env = "msvc"))]
 use tikv_jemallocator::Jemalloc;
 use tracing::info;
@@ -27,36 +27,35 @@ fn main() {
     // get config file name from args
     let config_file_arg = args.config;
 
-    // Quits if config file path is unreadable or does not exist
-    let config_file_path = config_file_arg.as_ref().map(|x| &**x).unwrap();
-    let path = Path::new(&config_file_path);
-
-    if !path.exists() {
-        eprintln!("Config file not found: {}", &config_file_path);
-        process::exit(1);
+    // Ensure the config file is readable if it was explicitly set
+    if let Some(config_path) = config_file_arg.as_ref() {
+        let path = Path::new(&config_path);
+        if !path.exists() {
+            eprintln!("Config file not found: {}", &config_path);
+            process::exit(1);
+        }
+        if !path.is_file() {
+            eprintln!("Invalid config file path: {}", &config_path);
+            process::exit(1);
+        }
+        if let Err(err) = fs::metadata(path) {
+            eprintln!("Error while accessing file metadata: {}", err);
+            process::exit(1);
+        }
+        if let Err(err) = fs::File::open(path) {
+            eprintln!("Config file is not readable: {}", err);
+            process::exit(1);
+        }
     }
 
-    if !path.is_file() {
-        eprintln!("Invalid config file path: {}", &config_file_path);
-        process::exit(1);
-    }
-
-    if let Err(err) = fs::metadata(&path) {
-        eprintln!("Error while accessing file metadata: {}", err);
-        process::exit(1);
-    }
-
-    if let Err(err) = fs::File::open(&path) {
-        eprintln!("Config file is not readable: {}", err);
-        process::exit(1);
-    }
-
-
     let mut _log_guard: Option<WorkerGuard> = None;
 
     // configure settings from the config file (defaults to config.toml)
     // replace default settings with those read from the config file
-    let mut settings = config::Settings::new(&config_file_arg);
+    let mut settings = config::Settings::new(&config_file_arg).unwrap_or_else(|e| {
+        eprintln!("Error reading config file ({:?})", e);
+        process::exit(1);
+    });
 
     // setup tracing
     if settings.diagnostics.tracing {