diff --git a/litellm/llms/sap/credentials.py b/litellm/llms/sap/credentials.py
index be272ff11c4..474b3efeff9 100644
--- a/litellm/llms/sap/credentials.py
+++ b/litellm/llms/sap/credentials.py
@@ -37,15 +37,17 @@ def _get_nested(d: Union[Dict[str, Any], str], path: Sequence[str]) -> Any:
             cur = json.loads(cur)
         except json.JSONDecodeError:
             verbose_logger.warning(
-                "SAP service key is a string but not valid JSON."
+                "SAP service key or VCAP service is a string but not valid JSON."
             )
             return None
     for k in path:
-        if not isinstance(cur, dict) or k not in cur:
+        if not isinstance(cur, dict):
             verbose_logger.warning(
-                f"SAP service key has unexpected type '{type(cur).__name__}' (expected dict or JSON string). "
+                f"SAP service key or VCAP service traversal hit non-dict type '{type(cur).__name__}' at key '{k}'."
             )
             return None
+        if k not in cur:
+            return None
         cur = cur[k]
     return cur
 
@@ -218,13 +220,15 @@ def fetch_credentials(service_key: Optional[Union[str, dict]] = None, profile: O
         Source("kwargs",
                lambda cv: _str_or_none(kwargs.get(cv.name))),
         Source("service key",
-               lambda cv: _get_nested(service_key, cv.vcap_key if cv.vcap_key else (cv.name,))), # type: ignore[arg-type]
+               lambda cv: _get_nested(service_key, cv.vcap_key if cv.vcap_key else (cv.name,))
+               if service_key else None), # type: ignore[arg-type]
         Source("environment variables",
                lambda cv: _str_or_none(os.environ.get(f'AICORE_{cv.name.upper()}'))),
         Source("config file",
                lambda cv: _str_or_none(config.get(f'AICORE_{cv.name.upper()}') or config.get(cv.name))),
         Source("VCAP service",
-               lambda cv: _get_nested(vcap_service, ("credentials",) + cv.vcap_key if cv.vcap_key else (cv.name,))), # type: ignore[arg-type]
+               lambda cv: _get_nested(vcap_service, (("credentials",) + cv.vcap_key) if cv.vcap_key else (cv.name,))
+               if vcap_service else None), # type: ignore[arg-type]
     ]
 
     credentials = resolve_credentials(sources)
diff --git a/tests/test_litellm/llms/sap/test_sap_fetch_creds.py b/tests/test_litellm/llms/sap/test_sap_fetch_creds.py
index 46e5656a523..c40ef5e8025 100644
--- a/tests/test_litellm/llms/sap/test_sap_fetch_creds.py
+++ b/tests/test_litellm/llms/sap/test_sap_fetch_creds.py
@@ -1,5 +1,6 @@
 import json
-from litellm.llms.sap.credentials import fetch_credentials
+import litellm.llms.sap.credentials as sap_credentials
+
 mock_sap_service_key_dict = {
     "serviceurls":
         {
@@ -32,24 +33,28 @@ mock_sap_vcap_service_key_dict = {
 }
 
 def test_sap_fetch_creds_from_env_service_key(monkeypatch):
+    monkeypatch.setattr(sap_credentials, "sap_service_key", None)
     monkeypatch.setenv("AICORE_HOME", 'notexist')
     monkeypatch.setenv("AICORE_SERVICE_KEY", json.dumps(mock_sap_service_key_dict))
-    creds = fetch_credentials()
+    creds = sap_credentials.fetch_credentials()
     assert creds == expected_creds
 
 def test_sap_fetch_creds_from_arg_service_key(monkeypatch):
+    monkeypatch.setattr(sap_credentials, "sap_service_key", None)
     monkeypatch.setenv("AICORE_HOME", 'notexist')
-    creds = fetch_credentials(service_key=json.dumps(mock_sap_service_key_dict))
+    creds = sap_credentials.fetch_credentials(service_key=json.dumps(mock_sap_service_key_dict))
     assert creds == expected_creds
 
 def test_fetch_creds_from_env_vcap_service(monkeypatch):
+    monkeypatch.setattr(sap_credentials, "sap_service_key", None)
     monkeypatch.setenv("AICORE_HOME", 'notexist')
     monkeypatch.setenv("VCAP_SERVICES", json.dumps(mock_sap_vcap_service_key_dict))
-    creds = fetch_credentials()
+    creds = sap_credentials.fetch_credentials()
     assert creds['client_id'] == "vcap-clientid"
     assert creds['client_secret'] == "vcap-clientsecret"
 
 def test_fetch_creds_from_env(monkeypatch):
+    monkeypatch.setattr(sap_credentials, "sap_service_key", None)
     monkeypatch.setenv("AICORE_HOME", 'notexist')
     monkeypatch.setenv("AICORE_CLIENT_ID", "env-client-id")
     monkeypatch.setenv("AICORE_CLIENT_SECRET", "env-client-secret")
@@ -57,7 +62,7 @@ def test_fetch_creds_from_env(monkeypatch):
     monkeypatch.setenv("AICORE_BASE_URL", "env-base-url")
     monkeypatch.setenv("AICORE_RESOURCE_GROUP", "env-resource-group")
 
-    creds = fetch_credentials()
+    creds = sap_credentials.fetch_credentials()
 
     assert creds['client_id'] == "env-client-id"
     assert creds['client_secret'] == "env-client-secret"
@@ -66,12 +71,13 @@ def test_fetch_creds_from_env(monkeypatch):
     assert creds['resource_group'] == "env-resource-group"
 
 def test_creds_priority_order(monkeypatch):
+    monkeypatch.setattr(sap_credentials, "sap_service_key", None)
     monkeypatch.setenv("AICORE_HOME", 'notexist')
     monkeypatch.setenv("AICORE_CLIENT_ID", "env-client-id")
     monkeypatch.setenv("AICORE_CLIENT_SECRET", "env-client-secret")
     monkeypatch.setenv("AICORE_AUTH_URL", "env-auth-url")
     monkeypatch.setenv("AICORE_BASE_URL", "env-base-url")
     monkeypatch.setenv("AICORE_RESOURCE_GROUP", "env-resource-group")
-    creds = fetch_credentials(service_key=json.dumps(mock_sap_service_key_dict))
+    creds = sap_credentials.fetch_credentials(service_key=json.dumps(mock_sap_service_key_dict))
     assert creds['client_id'] == "mockclientid"
     assert creds['resource_group'] == "env-resource-group"
\ No newline at end of file