diff --git a/drivers/bluetooth/btnxpuart.c b/drivers/bluetooth/btnxpuart.c
index 8c5599ddf0f58..da18fd4f54f37 100644
--- a/drivers/bluetooth/btnxpuart.c
+++ b/drivers/bluetooth/btnxpuart.c
@@ -193,6 +193,11 @@ struct btnxpuart_dev {
 #define NXP_NAK_V3		0x7b
 #define NXP_CRC_ERROR_V3	0x7c
 
+/* Bootloader signature error codes */
+#define NXP_ACK_RX_TIMEOUT	0x0002	/* ACK not received from host */
+#define NXP_HDR_RX_TIMEOUT	0x0003	/* FW Header chunk not received */
+#define NXP_DATA_RX_TIMEOUT	0x0004	/* FW Data chunk not received */
+
 #define HDR_LEN			16
 
 #define NXP_RECV_CHIP_VER_V1 \
@@ -283,6 +288,17 @@ struct nxp_bootloader_cmd {
 	__be32 crc;
 } __packed;
 
+struct nxp_v3_rx_timeout_nak {
+	u8 nak;
+	__le32 offset;
+	u8 crc;
+} __packed;
+
+union nxp_v3_rx_timeout_nak_u {
+	struct nxp_v3_rx_timeout_nak pkt;
+	u8 buf[6];
+};
+
 static u8 crc8_table[CRC8_TABLE_SIZE];
 
 /* Default configurations */
@@ -943,6 +959,32 @@ static int nxp_recv_chip_ver_v3(struct hci_dev *hdev, struct sk_buff *skb)
 	return 0;
 }
 
+static void nxp_handle_fw_download_error(struct hci_dev *hdev, struct v3_data_req *req)
+{
+	struct btnxpuart_dev *nxpdev = hci_get_drvdata(hdev);
+	__u32 offset = __le32_to_cpu(req->offset);
+	__u16 err = __le16_to_cpu(req->error);
+	union nxp_v3_rx_timeout_nak_u nak_tx_buf;
+
+	switch (err) {
+	case NXP_ACK_RX_TIMEOUT:
+	case NXP_HDR_RX_TIMEOUT:
+	case NXP_DATA_RX_TIMEOUT:
+		nak_tx_buf.pkt.nak = NXP_NAK_V3;
+		nak_tx_buf.pkt.offset = __cpu_to_le32(offset);
+		nak_tx_buf.pkt.crc = crc8(crc8_table, nak_tx_buf.buf,
+				      sizeof(nak_tx_buf) - 1, 0xff);
+		serdev_device_write_buf(nxpdev->serdev, nak_tx_buf.buf,
+					sizeof(nak_tx_buf));
+		break;
+	default:
+		bt_dev_dbg(hdev, "Unknown bootloader error code: %d", err);
+		break;
+
+	}
+
+}
+
 static int nxp_recv_fw_req_v3(struct hci_dev *hdev, struct sk_buff *skb)
 {
 	struct btnxpuart_dev *nxpdev = hci_get_drvdata(hdev);
@@ -957,7 +999,12 @@ static int nxp_recv_fw_req_v3(struct hci_dev *hdev, struct sk_buff *skb)
 	if (!req || !nxpdev->fw)
 		goto free_skb;
 
-	nxp_send_ack(NXP_ACK_V3, hdev);
+	if (!req->error) {
+		nxp_send_ack(NXP_ACK_V3, hdev);
+	} else {
+		nxp_handle_fw_download_error(hdev, req);
+		goto free_skb;
+	}
 
 	len = __le16_to_cpu(req->len);
 
@@ -984,9 +1031,6 @@ static int nxp_recv_fw_req_v3(struct hci_dev *hdev, struct sk_buff *skb)
 		wake_up_interruptible(&nxpdev->fw_dnld_done_wait_q);
 		goto free_skb;
 	}
-	if (req->error)
-		bt_dev_dbg(hdev, "FW Download received err 0x%02x from chip",
-			   req->error);
 
 	offset = __le32_to_cpu(req->offset);
 	if (offset < nxpdev->fw_v3_offset_correction) {