diff --git a/quote.c b/quote.c
index 37d2686865..c95dd2cafb 100644
--- a/quote.c
+++ b/quote.c
@@ -118,9 +118,15 @@ static char *sq_dequote_step(char *arg, char **next)
 				*next = NULL;
 			return arg;
 		case '\\':
-			c = *++src;
-			if (need_bs_quote(c) && *++src == '\'') {
-				*dst++ = c;
+			/*
+			 * Allow backslashed characters outside of
+			 * single-quotes only if they need escaping,
+			 * and only if we resume the single-quoted part
+			 * afterward.
+			 */
+			if (need_bs_quote(src[1]) && src[2] == '\'') {
+				*dst++ = src[1];
+				src += 2;
 				continue;
 			}
 		/* Fallthrough */
diff --git a/t/t1300-repo-config.sh b/t/t1300-repo-config.sh
index cbeb9bebee..4f8e6f5fde 100755
--- a/t/t1300-repo-config.sh
+++ b/t/t1300-repo-config.sh
@@ -1206,6 +1206,29 @@ test_expect_success 'git -c is not confused by empty environment' '
 	GIT_CONFIG_PARAMETERS="" git -c x.one=1 config --list
 '
 
+sq="'"
+test_expect_success 'detect bogus GIT_CONFIG_PARAMETERS' '
+	cat >expect <<-\EOF &&
+	env.one one
+	env.two two
+	EOF
+	GIT_CONFIG_PARAMETERS="${sq}env.one=one${sq} ${sq}env.two=two${sq}" \
+		git config --get-regexp "env.*" >actual &&
+	test_cmp expect actual &&
+
+	cat >expect <<-EOF &&
+	env.one one${sq}
+	env.two two
+	EOF
+	GIT_CONFIG_PARAMETERS="${sq}env.one=one${sq}\\$sq$sq$sq ${sq}env.two=two${sq}" \
+		git config --get-regexp "env.*" >actual &&
+	test_cmp expect actual &&
+
+	test_must_fail env \
+		GIT_CONFIG_PARAMETERS="${sq}env.one=one${sq}\\$sq ${sq}env.two=two${sq}" \
+		git config --get-regexp "env.*"
+'
+
 test_expect_success 'git config --edit works' '
 	git config -f tmp test.value no &&
 	echo test.value=yes >expect &&