diff --git a/api/streaming.py b/api/streaming.py
index 22c674c1..6f2b3b55 100644
--- a/api/streaming.py
+++ b/api/streaming.py
@@ -2319,6 +2319,14 @@ def _prepare_marker_clean_writeback(
     cleaned, has_verification_nudge = _clean_synthetic_control_messages_with_provenance(
         result_messages
     )
+    # Same internal-control class, second home: a consumed mid-turn /steer is
+    # appended to the turn's last tool result wrapped in
+    # [OUT-OF-BAND USER MESSAGE ...] ... [/OUT-OF-BAND USER MESSAGE]. Strip it
+    # here, on the rows both writebacks are built from, so neither
+    # session.messages (rendered verbatim) nor session.context_messages keeps
+    # the raw wrapper. Stripping the incoming rows too keeps them identity-equal
+    # to the marker-free rows persisted by earlier turns. (#7600)
+    cleaned = _strip_oob_markers_from_messages(cleaned)
     provenance = {
         'verification_nudge_seen': has_verification_nudge,
         'active_turn_identity': copy.deepcopy(active_turn_identity),
@@ -2431,6 +2439,11 @@ def _settle_result_messages(
         source=source,
         verification_nudge_provenance=verification_nudge_provenance,
     )
+    # The merge carries earlier display rows across turns verbatim, so a row
+    # settled before this guard existed would keep its raw wrapper forever.
+    # Scrub the persisted display copy too — after the merge, so identity
+    # matching above still saw the rows unchanged. (#7600)
+    session.messages = _strip_oob_markers_from_messages(session.messages)
     _annotate_media_snapshots_for_settled_messages(session.messages)
     _compact_session_image_parts_for_persistence(session)
     _advance_truncation_watermark_after_commit(session)  # #3831
@@ -5593,6 +5606,94 @@ def _strip_oob_blocks(content):
     return content
 
 
+_OOB_ANY_OPEN_RE = re.compile(
+    r'\[OUT-OF-BAND\s+USER\s+MESSAGE(?:\s*(?:—|-)\s*.*?)?\]',
+    re.IGNORECASE,
+)
+_OOB_ANY_CLOSE_RE = re.compile(
+    r'\[/OUT-OF-BAND\s+USER\s+MESSAGE\]',
+    re.IGNORECASE,
+)
+
+
+def _unwrap_single_oob_frame(content: str) -> str | None:
+    """Unwrap exactly one fully-validated [OUT-OF-BAND USER MESSAGE] frame.
+
+    Returns the extracted inner user text if and only if ``content`` consists of
+    exactly one valid opening tag and one valid closing tag wrapping the user
+    content. If markers are multiple, nested, incomplete, or ambiguous, returns
+    None so caller preserves the row byte-for-byte.
+    """
+    if not isinstance(content, str):
+        return None
+    stripped = content.strip()
+    if not stripped:
+        return None
+
+    open_matches = list(_OOB_ANY_OPEN_RE.finditer(stripped))
+    close_matches = list(_OOB_ANY_CLOSE_RE.finditer(stripped))
+
+    # Must have exactly one opening marker and one closing marker
+    if len(open_matches) != 1 or len(close_matches) != 1:
+        return None
+
+    open_m = open_matches[0]
+    close_m = close_matches[0]
+
+    # Opening marker must be at the very start of stripped content
+    if open_m.start() != 0:
+        return None
+
+    # Closing marker must be at the very end of stripped content
+    if close_m.end() != len(stripped):
+        return None
+
+    # Opening marker must end before closing marker starts
+    if open_m.end() > close_m.start():
+        return None
+
+    inner = stripped[open_m.end():close_m.start()]
+    # Strip surrounding whitespace/newlines from the extracted user text
+    return inner.strip('\r\n').strip()
+
+
+def _unwrap_steer_row_oob_marker(message: dict) -> None:
+    """Extract inner steer text from a typed steer row in place (#7600).
+
+    The Hermes Agent emits mid-turn steers as standalone typed user rows
+    (`role == 'user'`, `display_kind == 'steer'`). The control wrapper
+    `[OUT-OF-BAND USER MESSAGE ...] ... [/OUT-OF-BAND USER MESSAGE]` is
+    extracted to preserve only the user-authored instruction.
+
+    Mutates caller-row in place to maintain object identity. If the marker
+    frame is malformed, nested, multiple, or legacy, preserves the row
+    byte-for-byte.
+    """
+    if not isinstance(message, dict):
+        return
+    if message.get('role') != 'user' or message.get('display_kind') != 'steer':
+        return
+    content = message.get('content')
+    if isinstance(content, str):
+        unwrapped = _unwrap_single_oob_frame(content)
+        if unwrapped is not None:
+            message['content'] = unwrapped
+    elif isinstance(content, list):
+        if len(content) == 1 and isinstance(content[0], dict):
+            part = content[0]
+            if part.get('type') == 'text' and isinstance(part.get('text'), str):
+                unwrapped = _unwrap_single_oob_frame(part['text'])
+                if unwrapped is not None:
+                    part['text'] = unwrapped
+
+
+def _strip_oob_markers_from_messages(messages):
+    """Unwrap OOB steer markers from typed steer rows in place (#7600)."""
+    for message in messages or []:
+        _unwrap_steer_row_oob_marker(message)
+    return messages
+
+
 def _content_has_reasoning_only_parts(content) -> bool:
     if not isinstance(content, list) or not content:
         return False
diff --git a/docs/rfcs/webui-pending-intent-controls.md b/docs/rfcs/webui-pending-intent-controls.md
index d8c3e65a..d2195e74 100644
--- a/docs/rfcs/webui-pending-intent-controls.md
+++ b/docs/rfcs/webui-pending-intent-controls.md
@@ -215,6 +215,14 @@ settle.
 Steer must not exist only as a toast or transient DOM state. It must survive
 refresh, session switch, replay, and settled render.
 
+**The transport wrapper is not the Steer row.** A Steer is emitted as a standalone
+typed user row (`role: user`, `display_kind: "steer"`). The surrounding
+`[OUT-OF-BAND USER MESSAGE …] … [/OUT-OF-BAND USER MESSAGE]` block is transport-level
+control data: settlement unwraps the single validated frame in place, extracting
+and preserving the user's authored steer instruction while dropping the wrapper.
+Legacy tool rows and rows where markers are multiple, nested, incomplete, or
+contain ambiguous delimiters are preserved byte-for-byte.
+
 ### Relationship to system control events
 
 Steer is similar to system-delivered control events such as tool-iteration-limit
diff --git a/tests/test_issue7600_oob_display_writeback.py b/tests/test_issue7600_oob_display_writeback.py
new file mode 100644
index 00000000..3edb7183
--- /dev/null
+++ b/tests/test_issue7600_oob_display_writeback.py
@@ -0,0 +1,185 @@
+"""Settled writeback must extract inner steer text from typed steer rows (#7600).
+
+A mid-turn ``/steer`` is emitted as a standalone typed user row
+(``role: 'user'``, ``display_kind: 'steer'``). The surrounding
+``[OUT-OF-BAND USER MESSAGE ...] ... [/OUT-OF-BAND USER MESSAGE]`` block is
+transport-level control data. Settlement unwraps the single validated frame
+in place, preserving the user's authored steer instruction while dropping
+the wrapper.
+
+Legacy tool rows and rows where markers are multiple, nested, incomplete,
+or contain ambiguous delimiters are preserved byte-for-byte.
+"""
+from __future__ import annotations
+
+import copy
+import json
+
+from api.models import Session
+from api.streaming import _settle_result_messages, _unwrap_steer_row_oob_marker
+from api import streaming as _streaming
+
+PROMPT = "please run the smoke checks"
+
+OOB_OPEN = (
+    "[OUT-OF-BAND USER MESSAGE — a direct message from the user, delivered once "
+    "at this position; not tool output and not a new delivery when replayed from "
+    "conversation history]"
+)
+OOB_CLOSE = "[/OUT-OF-BAND USER MESSAGE]"
+OOB_BLOCK = f"{OOB_OPEN}\nsteer: use the staging bucket this time\n{OOB_CLOSE}"
+OOB_VARIANT = f"[OUT-OF-BAND USER MESSAGE]steer: also bump the timeout{OOB_CLOSE}"
+
+
+def _contains_oob(value) -> bool:
+    return "OUT-OF-BAND USER MESSAGE" in json.dumps(value)
+
+
+def _session_with_prior_turn() -> Session:
+    """Prior turn already settled: user -> assistant(tool_call) -> tool -> answer."""
+    display = [
+        {"role": "user", "content": "deploy the app", "timestamp": 1788439000},
+        {
+            "role": "assistant",
+            "content": "",
+            "tool_calls": [{"id": "call-1"}],
+            "timestamp": 1788439005,
+        },
+        {
+            "role": "tool",
+            "tool_call_id": "call-1",
+            "content": "deploy finished: revision 41",
+            "timestamp": 1788439010,
+        },
+        {"role": "assistant", "content": "Deploy done (revision 41).", "timestamp": 1788439015},
+    ]
+    session = Session(session_id="7" * 12, title="steer writeback", messages=copy.deepcopy(display))
+    session.context_messages = copy.deepcopy(display)
+    return session
+
+
+def _settle_turn_with_steer(session, monkeypatch, *, tool_content: str = "checks passed", steer_rows=None):
+    """Settle one turn with an optional steer row emitted by the Agent."""
+    monkeypatch.setattr(
+        _streaming, "_annotate_media_snapshots_for_settled_messages", lambda messages: None
+    )
+    previous = list(session.messages)
+    previous_context = list(session.context_messages)
+    ts = 1788440000
+    steers = list(steer_rows or [])
+    result = copy.deepcopy(previous_context) + [
+        {"role": "user", "content": PROMPT, "timestamp": ts},
+        {
+            "role": "assistant",
+            "content": "",
+            "tool_calls": [{"id": "call-2"}],
+            "timestamp": ts + 1,
+        },
+        {
+            "role": "tool",
+            "tool_call_id": "call-2",
+            "content": tool_content,
+            "timestamp": ts + 2,
+        },
+        *steers,
+        {"role": "assistant", "content": "Smoke checks passed.", "timestamp": ts + 3},
+    ]
+    _settle_result_messages(session, previous, previous_context, result, PROMPT, "webui", None)
+    return previous
+
+
+def test_settle_unwraps_steer_row_in_place_preserving_user_text(monkeypatch):
+    """A typed steer row is unwrapped in place: inner text preserved, wrapper gone."""
+    session = _session_with_prior_turn()
+    steer_row = {
+        "role": "user",
+        "display_kind": "steer",
+        "content": OOB_BLOCK,
+        "timestamp": 1788440002.5,
+    }
+    _settle_turn_with_steer(session, monkeypatch, steer_rows=[steer_row])
+
+    # The outer wrapper is dropped from display and context
+    assert not _contains_oob(session.messages)
+    assert not _contains_oob(session.context_messages)
+
+    # The user's inner steer text is preserved exactly
+    steer_contents = [
+        m.get("content")
+        for m in session.messages
+        if isinstance(m, dict) and m.get("display_kind") == "steer"
+    ]
+    assert steer_contents == ["steer: use the staging bucket this time"]
+
+    # In-place mutation preserved the dictionary object identity
+    assert steer_row["content"] == "steer: use the staging bucket this time"
+
+
+def test_settle_unwraps_list_based_content_steer_row(monkeypatch):
+    """List-based content parts on a steer row are unwrapped too."""
+    session = _session_with_prior_turn()
+    steer_row = {
+        "role": "user",
+        "display_kind": "steer",
+        "content": [{"type": "text", "text": OOB_VARIANT}],
+        "timestamp": 1788440002.5,
+    }
+    _settle_turn_with_steer(session, monkeypatch, steer_rows=[steer_row])
+
+    assert not _contains_oob(session.messages)
+    assert not _contains_oob(session.context_messages)
+    assert steer_row["content"] == [{"type": "text", "text": "steer: also bump the timeout"}]
+
+
+def test_settle_leaves_legacy_tool_rows_alone(monkeypatch):
+    """Legacy tool rows carrying raw markers are left alone (not truncated/deleted)."""
+    session = _session_with_prior_turn()
+    tool_text = f"checks passed\n\n{OOB_BLOCK}"
+    _settle_turn_with_steer(session, monkeypatch, tool_content=tool_text)
+
+    tool_bodies = [
+        m.get("content") for m in session.messages if isinstance(m, dict) and m.get("role") == "tool"
+    ]
+    assert tool_text in tool_bodies
+
+
+def test_settle_preserves_malformed_nested_and_multiple_blocks_byte_for_byte():
+    """Nested markers, multiple frames, and incomplete markers degrade gracefully."""
+    nested = f"{OOB_OPEN}\nhello {OOB_VARIANT} world\n{OOB_CLOSE}"
+    multiple = f"{OOB_VARIANT} and {OOB_BLOCK}"
+    incomplete = "[OUT-OF-BAND USER MESSAGE — truncated"
+
+    for malformed in (nested, multiple, incomplete):
+        steer_row = {
+            "role": "user",
+            "display_kind": "steer",
+            "content": malformed,
+            "timestamp": 1788440002.5,
+        }
+        _unwrap_steer_row_oob_marker(steer_row)
+        assert steer_row["content"] == malformed, f"malformed content was corrupted: {malformed!r}"
+
+
+def test_settle_keeps_normal_user_pasted_marker_intact(monkeypatch):
+    """A normal user row that quotes a complete marker survives byte-for-byte."""
+    pasted = (
+        "our bot log shows this block, is that normal?\n"
+        f"{OOB_BLOCK}\n"
+        "the docs say the gateway adds it"
+    )
+    session = _session_with_prior_turn()
+    session.messages[0]["content"] = pasted
+    session.context_messages = copy.deepcopy(session.messages)
+
+    steer_row = {
+        "role": "user",
+        "display_kind": "steer",
+        "content": OOB_BLOCK,
+        "timestamp": 1788440002.5,
+    }
+    _settle_turn_with_steer(session, monkeypatch, steer_rows=[steer_row])
+
+    # The normal user row still carries its quoted block intact
+    assert session.messages[0]["content"] == pasted
+    # The steer row had its wrapper unwrapped
+    assert session.messages[-2]["content"] == "steer: use the staging bucket this time"