diff --git a/electrum b/electrum
index 482dd519a..26a719b12 100755
--- a/electrum
+++ b/electrum
@@ -250,12 +250,10 @@ if __name__ == '__main__':
             else:
                 import getpass
                 seed = getpass.getpass(prompt="seed:", stream=None) if options.concealed else raw_input("seed:")
-                if not seed:
-                    sys.exit("Error: Seed cannot be empty")
-                wallet = Wallet.from_seed(str(seed),storage)
-                if not wallet:
+                if not Wallet.is_seed(seed):
                     sys.exit("Error: Invalid seed")
-                wallet.save_seed(password)
+                wallet = Wallet.from_seed(seed, storage)
+                wallet.add_seed(seed, password)
                 wallet.create_accounts(password)
 
             if not options.offline:
diff --git a/lib/wallet.py b/lib/wallet.py
index 409376285..e407e1c09 100644
--- a/lib/wallet.py
+++ b/lib/wallet.py
@@ -1546,7 +1546,7 @@ class OldWallet(Deterministic_Wallet):
 
 
     def create_master_keys(self, password):
-        seed = pw_decode(self.seed, password)
+        seed = self.get_seed(password)
         mpk = OldAccount.mpk_from_seed(seed)
         self.storage.put('master_public_key', mpk, True)