diff --git a/Changelog b/Changelog
index b054397..8352203 100644
--- a/Changelog
+++ b/Changelog
@@ -1,5 +1,8 @@
 [Changes 1.2c01]
 
+* Use correct (MODECHAN and MODEUSER) display level for channel and user
+  modes. (caf)
+
 * Allow %- status format to handle max-length topics (reported by oxy). (caf)
 
 * Add /FSET WOHIS_LOGGEDIN for services login info on hybrid, ratbox and
diff --git a/source/parse.c b/source/parse.c
index 7f16e0d..087c3dd 100644
--- a/source/parse.c
+++ b/source/parse.c
@@ -1506,7 +1506,6 @@ static	void p_mode(char *from, char **ArgList)
 
 	flag = check_ignore(from, FromUserHost, target, (smode?IGNORE_SMODES : IGNORE_MODES) | IGNORE_CRAP, NULL);
 
-	set_display_target(target, LOG_CRAP);
 	if (target && line)
 	{
 		strcpy(buffer, line);
@@ -1514,6 +1513,8 @@ static	void p_mode(char *from, char **ArgList)
 			strip_modes(from, target, line);
 		if (is_channel(target))
 		{
+			set_display_target(target, LOG_MODE_CHAN);
+
 #ifdef COMPRESS_MODES
 			if (chan2)
 				chan = (ChannelList *)find_in_list((List **)&chan2, target, 0);
@@ -1547,6 +1548,8 @@ static	void p_mode(char *from, char **ArgList)
 		}
 		else
 		{
+			set_display_target(target, LOG_MODE_USER);
+
 			if (flag != IGNORED && do_hook(MODE_LIST, "%s %s %s", from, target, line))
 			{
 				/* User mode changes where from != target don't occur on