diff --git a/native/components/background-identity-login-handler.react.js b/native/components/background-identity-login-handler.react.js
--- a/native/components/background-identity-login-handler.react.js
+++ b/native/components/background-identity-login-handler.react.js
@@ -3,13 +3,14 @@
 import * as React from 'react';
 
 import { logOutActionTypes, useLogOut } from 'lib/actions/user-actions.js';
-import { useModalContext } from 'lib/components/modal-provider.react.js';
+import { usePasswordLogIn } from 'lib/hooks/login-hooks.js';
 import { accountHasPassword } from 'lib/shared/account-utils.js';
 import { securityUpdateLogoutText } from 'lib/types/alert-types.js';
 import { useDispatchActionPromise } from 'lib/utils/redux-promise-utils.js';
 import { useSelector } from 'lib/utils/redux-utils.js';
 import { usingCommServicesAccessToken } from 'lib/utils/services-utils.js';
 
+import { fetchNativeKeychainCredentials } from '../account/native-credentials.js';
 import Alert from '../utils/alert.js';
 
 function BackgroundIdentityLoginHandler() {
@@ -22,26 +23,51 @@
   const hasAccessToken = useSelector(state => !!state.commServicesAccessToken);
   const dataLoaded = useSelector(state => state.dataLoaded);
 
-  const { pushModal } = useModalContext();
+  const callIdentityPasswordLogIn = usePasswordLogIn();
 
-  React.useEffect(() => {
+  const handleLogOutAndAlert = React.useCallback(() => {
+    void dispatchActionPromise(logOutActionTypes, callLogOut());
+    Alert.alert('Security update', securityUpdateLogoutText, [{ text: 'OK' }]);
+  }, [dispatchActionPromise, callLogOut]);
+
+  const logInIfPossibleElseLogOut = React.useCallback(async () => {
     if (hasAccessToken || !dataLoaded || !usingCommServicesAccessToken) {
       return;
     }
+
     if (!isAccountWithPassword) {
-      void dispatchActionPromise(logOutActionTypes, callLogOut());
-      Alert.alert('Security update', securityUpdateLogoutText, [
-        { text: 'OK' },
-      ]);
+      handleLogOutAndAlert();
+      return;
+    }
+
+    const nativeCredentials = await fetchNativeKeychainCredentials();
+    if (!nativeCredentials) {
+      console.log(
+        'Native credentials missing. Cannot log in to identity service',
+      );
+      handleLogOutAndAlert();
+      return;
+    }
+
+    try {
+      await callIdentityPasswordLogIn(
+        nativeCredentials.username,
+        nativeCredentials.password,
+      );
+    } catch (e) {
+      handleLogOutAndAlert();
     }
   }, [
-    callLogOut,
+    callIdentityPasswordLogIn,
     dataLoaded,
-    dispatchActionPromise,
+    handleLogOutAndAlert,
     hasAccessToken,
     isAccountWithPassword,
-    pushModal,
   ]);
+
+  React.useEffect(() => {
+    void logInIfPossibleElseLogOut();
+  }, [logInIfPossibleElseLogOut]);
 }
 
 export default BackgroundIdentityLoginHandler;