diff --git a/src/features/terminal/embedded.ts b/src/features/terminal/embedded.ts
index 59ad09c94..27c45e046 100644
--- a/src/features/terminal/embedded.ts
+++ b/src/features/terminal/embedded.ts
@@ -69,11 +69,15 @@ export function createEmbeddedTerminal(host: HTMLElement, opts: EmbeddedTerminal
   const fit = new FitAddon();
   term.loadAddon(fit);
   live.add(term);
-  const processResize = settledResize((cols, rows) => opts.onResize(cols, rows));
+  let lastSize = { cols: term.cols, rows: term.rows };
+  const processResize = settledResize((cols, rows) => {
+    if (cols === lastSize.cols && rows === lastSize.rows) return;
+    lastSize = { cols, rows };
+    opts.onResize(cols, rows);
+  });
   const disposables: IDisposable[] = [
     term.onData((d) => opts.onData(d)),
     term.onBinary((d) => opts.onData(d)),
-    term.onResize(({ cols, rows }) => processResize.resized(cols, rows)),
     term.registerLinkProvider({
       provideLinks(y, callback) {
         const line = term.buffer.active.getLine(y - 1);
@@ -108,8 +112,12 @@ export function createEmbeddedTerminal(host: HTMLElement, opts: EmbeddedTerminal
     const dims = fit.proposeDimensions();
     if (!dims || !Number.isFinite(dims.cols) || !Number.isFinite(dims.rows)) return;
     if (dims.cols !== term.cols || dims.rows !== term.rows) term.resize(dims.cols, dims.rows);
+    processResize.resized(dims.cols, dims.rows);
   });
-  const scheduleFit = () => fitter.schedule();
+  const scheduleFit = () => {
+    processResize.cancel();
+    fitter.schedule();
+  };
   const observer = new ResizeObserver(scheduleFit);
   observer.observe(host);
   scheduleFit();
diff --git a/src/features/terminal/embeddedFit.test.ts b/src/features/terminal/embeddedFit.test.ts
new file mode 100644
index 000000000..2812164d2
--- /dev/null
+++ b/src/features/terminal/embeddedFit.test.ts
@@ -0,0 +1,110 @@
+import { afterEach, beforeEach, expect, it, vi } from "vitest";
+import { createEmbeddedTerminal } from "./embedded";
+import { FIT_SETTLE_MS, PROCESS_RESIZE_DELAY_MS } from "./fit";
+
+const layout = vi.hoisted(() => ({ cols: 80, rows: 24, resize: () => {} }));
+vi.mock("@xterm/xterm", () => ({
+  Terminal: class {
+    cols = 80;
+    rows = 24;
+    resized = (_size: { cols: number; rows: number }) => {};
+    loadAddon() {}
+    attachCustomKeyEventHandler() {}
+    open() {}
+    resize(cols: number, rows: number) {
+      this.cols = cols;
+      this.rows = rows;
+      this.resized({ cols, rows });
+    }
+    onData() {
+      return { dispose() {} };
+    }
+    onBinary() {
+      return { dispose() {} };
+    }
+    onResize(callback: typeof this.resized) {
+      this.resized = callback;
+      return { dispose() {} };
+    }
+    registerLinkProvider() {
+      return { dispose() {} };
+    }
+    dispose() {}
+  },
+}));
+vi.mock("@xterm/addon-fit", () => ({
+  FitAddon: class {
+    proposeDimensions() {
+      return { cols: layout.cols, rows: layout.rows };
+    }
+  },
+}));
+vi.mock("./session", () => ({ fontFor: () => ({}), LINK_HANDLER: {}, openExternal: vi.fn(), openFileLink: vi.fn() }));
+vi.mock("./theme", () => ({ readTerminalTheme: () => ({}), remeasureWhenFontsLoad: vi.fn(), MIN_CONTRAST_RATIO: 1 }));
+
+beforeEach(() => {
+  vi.useFakeTimers();
+  layout.cols = 80;
+  layout.rows = 24;
+  vi.stubGlobal(
+    "ResizeObserver",
+    class {
+      constructor(callback: () => void) {
+        layout.resize = callback;
+      }
+      observe() {}
+      disconnect() {}
+    },
+  );
+});
+afterEach(() => {
+  vi.useRealTimers();
+  vi.unstubAllGlobals();
+  document.body.replaceChildren();
+});
+
+function terminal() {
+  const host = document.createElement("div");
+  Object.defineProperty(host, "offsetWidth", { value: 600 });
+  Object.defineProperty(host, "offsetHeight", { value: 400 });
+  document.body.append(host);
+  const onResize = vi.fn();
+  const term = createEmbeddedTerminal(host, { onData: vi.fn(), onResize });
+  vi.advanceTimersByTime(FIT_SETTLE_MS + PROCESS_RESIZE_DELAY_MS);
+  onResize.mockClear();
+  return { term, onResize };
+}
+
+it.each([false, true])("reports only the final size after a drag, including unchanged final cells: %s", (sameCells) => {
+  const { term, onResize } = terminal();
+  try {
+    layout.cols = 79;
+    layout.resize();
+    vi.advanceTimersToNextFrame();
+    for (let i = 0; i < 40; i++) {
+      if (!sameCells) layout.cols--;
+      layout.resize();
+      vi.advanceTimersByTime(16);
+    }
+    expect(onResize).not.toHaveBeenCalled();
+    vi.advanceTimersByTime(FIT_SETTLE_MS + PROCESS_RESIZE_DELAY_MS);
+    expect(onResize).toHaveBeenCalledExactlyOnceWith(layout.cols, layout.rows);
+    layout.resize();
+    vi.advanceTimersByTime(FIT_SETTLE_MS + PROCESS_RESIZE_DELAY_MS);
+    expect(onResize).toHaveBeenCalledOnce();
+  } finally {
+    term.dispose();
+  }
+});
+
+it.each([false, true])("disposes with no pending fit or process resize timer: %s", (deferred) => {
+  const { term, onResize } = terminal();
+  layout.cols = 79;
+  layout.resize();
+  vi.advanceTimersToNextFrame();
+  if (deferred) layout.resize();
+  term.dispose();
+  expect(vi.getTimerCount()).toBe(0);
+  vi.advanceTimersByTime(FIT_SETTLE_MS + PROCESS_RESIZE_DELAY_MS);
+  expect(onResize).not.toHaveBeenCalled();
+});
diff --git a/src/features/terminal/fit.ts b/src/features/terminal/fit.ts
index 8ae9a77b7..e3e074af1 100644
--- a/src/features/terminal/fit.ts
+++ b/src/features/terminal/fit.ts
@@ -1,5 +1,8 @@
-/** Minimum time between two fits while the host keeps resizing (a tool window drag). */
-export const FIT_INTERVAL_MS = 100;
+/**
+ * How long requests must stop before a terminal that keeps resizing (a tool window drag)
+ * refits. A fit reflows the whole scrollback, so during the drag the pane only clips.
+ */
+export const FIT_SETTLE_MS = 120;
 /** How long the size must stay put before the process behind the terminal is told. */
 export const PROCESS_RESIZE_DELAY_MS = 150;
 
@@ -11,36 +14,34 @@ export interface FitScheduler {
 }
 
 /**
- * Coalesces fit requests. An idle terminal fits on the next frame; while its host keeps
- * resizing it refits at most every FIT_INTERVAL_MS, and once more when the resizing
- * stops. Re-rendering xterm on every pointer move of a drag costs a frame each time.
+ * Coalesces fit requests. An idle terminal fits on the next frame; while requests keep
+ * coming (its host is being resized) it fits once, FIT_SETTLE_MS after the last one.
  */
 export function fitScheduler(fit: () => void): FitScheduler {
   let raf = 0;
   let timer: ReturnType<typeof setTimeout> | undefined;
-  let pending = false;
-  let last = -Infinity;
+  let lastRequest = -Infinity;
   const cancel = () => {
     cancelAnimationFrame(raf);
     clearTimeout(timer);
     raf = 0;
     timer = undefined;
-    pending = false;
   };
   const run = () => {
     cancel();
-    last = performance.now();
     fit();
   };
   return {
     schedule() {
-      if (pending) return;
-      pending = true;
-      const wait = last + FIT_INTERVAL_MS - performance.now();
-      if (wait > 0) {
-        timer = setTimeout(run, wait);
+      const now = performance.now();
+      const resizing = now - lastRequest < FIT_SETTLE_MS;
+      lastRequest = now;
+      if (resizing) {
+        cancel();
+        timer = setTimeout(run, FIT_SETTLE_MS);
         return;
       }
+      if (timer !== undefined) return;
       raf = requestAnimationFrame(run);
       // WebKit pauses rAF in background windows; don't leave the terminal unfitted until it is shown.
       timer = setTimeout(run, 100);
diff --git a/src/features/terminal/session.test.ts b/src/features/terminal/session.test.ts
index d8305bc8e..5daae0408 100644
--- a/src/features/terminal/session.test.ts
+++ b/src/features/terminal/session.test.ts
@@ -2,7 +2,7 @@ import { useProject } from "@/platform/project";
 import { workflowSettings } from "@/platform/workflowSettings";
 import { getSession, newTab, splitTab, syncTerminalProject, unbindTerminals, useTerminals } from "./store";
 import { afterEach, beforeEach, describe, expect, it, vi } from "vitest";
-import { FIT_INTERVAL_MS } from "./fit";
+import { FIT_SETTLE_MS } from "./fit";
 import { findTerminalLinks, type TerminalLink } from "./links";
 import { openFileLink, resolveStartCwd, TerminalSession } from "./session";
 
@@ -208,7 +208,7 @@ describe("terminal open", () => {
 
     width = 400;
     height = 300;
-    vi.advanceTimersByTime(FIT_INTERVAL_MS);
+    vi.advanceTimersByTime(FIT_SETTLE_MS);
     expect(open).toHaveBeenCalledTimes(1);
     session.dispose();
     container.remove();
diff --git a/src/features/terminal/session.ts b/src/features/terminal/session.ts
index 8cfe922c9..7c65ce958 100644
--- a/src/features/terminal/session.ts
+++ b/src/features/terminal/session.ts
@@ -459,6 +459,7 @@ export class TerminalSession {
   }
 
   private scheduleFit() {
+    this.ptyResize.cancel();
     this.fitter.schedule();
   }
 
diff --git a/src/features/terminal/terminal.test.ts b/src/features/terminal/terminal.test.ts
index bfb75e56a..57239e6f3 100644
--- a/src/features/terminal/terminal.test.ts
+++ b/src/features/terminal/terminal.test.ts
@@ -1,5 +1,5 @@
 import { afterEach, describe, expect, it, vi } from "vitest";
-import { FIT_INTERVAL_MS, PROCESS_RESIZE_DELAY_MS, fitScheduler, settledResize } from "./fit";
+import { FIT_SETTLE_MS, PROCESS_RESIZE_DELAY_MS, fitScheduler, settledResize } from "./fit";
 import { isAllowedIdeShortcut, terminalKeyAction } from "./keys";
 import { matchCounter } from "./FindBar";
 import { buildSearchDecorations } from "./theme";
@@ -438,26 +438,81 @@ describe("terminal tab titles", () => {
 describe("fit scheduling", () => {
   afterEach(() => vi.useRealTimers());
 
-  it("refits at most once per interval while resizing, and once after it stops", () => {
+  it("fits an idle terminal on the next frame, and a resizing one once it settles", () => {
     vi.useFakeTimers();
     const fit = vi.fn();
     const f = fitScheduler(fit);
     f.schedule();
     vi.advanceTimersToNextFrame();
     expect(fit).toHaveBeenCalledTimes(1);
-    for (let i = 0; i < 6; i++) {
+    for (let i = 0; i < 30; i++) {
       f.schedule();
       vi.advanceTimersByTime(16);
     }
     expect(fit).toHaveBeenCalledTimes(1);
-    vi.advanceTimersByTime(FIT_INTERVAL_MS);
+    vi.advanceTimersByTime(FIT_SETTLE_MS);
     expect(fit).toHaveBeenCalledTimes(2);
+    vi.advanceTimersByTime(FIT_SETTLE_MS);
     f.schedule();
     f.cancel();
-    vi.advanceTimersByTime(FIT_INTERVAL_MS * 2);
+    vi.advanceTimersByTime(FIT_SETTLE_MS * 2);
     expect(fit).toHaveBeenCalledTimes(2);
   });
 
+  it("fits a lone second request after it settles without needing another request", () => {
+    vi.useFakeTimers();
+    const fit = vi.fn();
+    const f = fitScheduler(fit);
+    f.schedule();
+    vi.advanceTimersToNextFrame();
+    vi.advanceTimersByTime(40);
+    f.schedule();
+    vi.advanceTimersByTime(FIT_SETTLE_MS - 1);
+    expect(fit).toHaveBeenCalledTimes(1);
+    vi.advanceTimersByTime(1);
+    expect(fit).toHaveBeenCalledTimes(2);
+    expect(vi.getTimerCount()).toBe(0);
+  });
+
+  it("fits without animation frames in a background window", () => {
+    vi.useFakeTimers();
+    const frame = vi.spyOn(window, "requestAnimationFrame").mockReturnValue(0);
+    const fit = vi.fn();
+    try {
+      fitScheduler(fit).schedule();
+      vi.advanceTimersByTime(100);
+      expect(fit).toHaveBeenCalledOnce();
+      expect(vi.getTimerCount()).toBe(0);
+    } finally {
+      frame.mockRestore();
+    }
+  });
+
+  it.each([false, true])("cancels all pending work after repeated requests: %s", (repeated) => {
+    vi.useFakeTimers();
+    const fit = vi.fn();
+    const f = fitScheduler(fit);
+    f.schedule();
+    if (repeated) f.schedule();
+    f.cancel();
+    expect(vi.getTimerCount()).toBe(0);
+    vi.advanceTimersByTime(FIT_SETTLE_MS * 2);
+    expect(fit).not.toHaveBeenCalled();
+  });
+
+  it("flushes a deferred fit immediately and leaves no delayed duplicate", () => {
+    vi.useFakeTimers();
+    const fit = vi.fn();
+    const f = fitScheduler(fit);
+    f.schedule();
+    f.schedule();
+    f.flush();
+    expect(fit).toHaveBeenCalledOnce();
+    expect(vi.getTimerCount()).toBe(0);
+    vi.advanceTimersByTime(FIT_SETTLE_MS * 2);
+    expect(fit).toHaveBeenCalledOnce();
+  });
+
   it("reports only the size the terminal settles on", () => {
     vi.useFakeTimers();
     const report = vi.fn();