diff --git a/packages/create-block/lib/index.js b/packages/create-block/lib/index.js
index ee20f31a7b3163..fb3f3110459f90 100644
--- a/packages/create-block/lib/index.js
+++ b/packages/create-block/lib/index.js
@@ -150,23 +150,21 @@ program
 
 					const filterOptionsProvided = ( { name } ) =>
 						! Object.keys( optionsValues ).includes( name );
-					const blockPrompts = [
-						// Get built-in block prompts
-						...getPrompts(
-							pluginTemplate,
-							[
-								'slug',
-								'namespace',
-								'title',
-								'description',
-								'dashicon',
-								'category',
-							],
-							variant
-						),
-						// Get custom prompts
-						...getPrompts(pluginTemplate, null, variant)
-					].filter( filterOptionsProvided );
+
+					// Get all prompts in one call
+					const blockPrompts = getPrompts(
+						pluginTemplate,
+						[
+							'slug',
+							'namespace',
+							'title',
+							'description',
+							'dashicon',
+							'category',
+							...(pluginTemplate.customPrompts ? Object.keys(pluginTemplate.customPrompts) : [])
+						],
+						variant
+					).filter( filterOptionsProvided );
 
 					const blockAnswers = await inquirer.prompt( blockPrompts );
 
@@ -195,6 +193,7 @@ program
 											'domainPath',
 											'updateURI',
 										],
+										...(pluginTemplate.customPrompts ? Object.keys(pluginTemplate.customPrompts) : []),
 										variant
 									).filter( filterOptionsProvided );
 									const result =
diff --git a/packages/create-block/lib/scaffold.js b/packages/create-block/lib/scaffold.js
index 73b9f549908867..71471036e44bcf 100644
--- a/packages/create-block/lib/scaffold.js
+++ b/packages/create-block/lib/scaffold.js
@@ -54,6 +54,7 @@ module.exports = async (
 		customBlockJSON,
 		example,
 		transformer,
+		...customPromptValues
 	}
 ) => {
 	slug = slug.toLowerCase();
@@ -97,6 +98,7 @@ module.exports = async (
 		example,
 		textdomain: slug,
 		rootDirectory,
+		...customPromptValues
 	} );
 
 	const view = {
diff --git a/packages/create-block/lib/templates.js b/packages/create-block/lib/templates.js
index fc29ffde6213cf..c03d10b7770f60 100644
--- a/packages/create-block/lib/templates.js
+++ b/packages/create-block/lib/templates.js
@@ -238,6 +238,14 @@ const getPluginTemplate = async ( templateName ) => {
 };
 
 const getDefaultValues = ( pluginTemplate, variant ) => {
+	// Get custom prompt default values
+	const customPromptDefaults = {};
+	if (pluginTemplate.customPrompts) {
+		for (const [name, prompt] of Object.entries(pluginTemplate.customPrompts)) {
+			customPromptDefaults[name] = prompt.default || '';
+		}
+	}
+
 	return {
 		$schema: 'https://schemas.wp.org/trunk/block.json',
 		apiVersion: 3,
@@ -256,6 +264,7 @@ const getDefaultValues = ( pluginTemplate, variant ) => {
 		editorStyle: 'file:./index.css',
 		style: 'file:./style-index.css',
 		transformer: ( view ) => view,
+		...customPromptDefaults,
 		...pluginTemplate.defaultValues,
 		...pluginTemplate.variants?.[ variant ],
 		variantVars: getVariantVars( pluginTemplate.variants, variant ),
@@ -264,27 +273,29 @@ const getDefaultValues = ( pluginTemplate, variant ) => {
 
 const getPrompts = ( pluginTemplate, keys, variant ) => {
 	const defaultValues = getDefaultValues( pluginTemplate, variant );
-	
-	// Get built-in prompts if keys are provided
-	const builtInPrompts = keys ? keys.map( ( promptName ) => {
-		return {
-			...prompts[ promptName ],
-			default: defaultValues[ promptName ],
-		};
-	}) : [];
+	let allPrompts = [];
 
-	// Add custom prompts if they exist
-	const customPromptsList = [];
-	if (pluginTemplate.customPrompts) {
-		for (const [name, prompt] of Object.entries(pluginTemplate.customPrompts)) {
-			customPromptsList.push({
-				...prompt,
-				default: defaultValues[name],
-			});
+	// Add built-in prompts if keys are provided
+	if (keys && keys.length > 0) {
+		for (const key of keys) {
+			// If it's a built-in prompt
+			if (prompts[key]) {
+				allPrompts.push({
+					...prompts[key],
+					default: defaultValues[key],
+				});
+			}
+			// If it's a custom prompt
+			else if (pluginTemplate.customPrompts?.[key]) {
+				allPrompts.push({
+					...pluginTemplate.customPrompts[key],
+					default: defaultValues[key] || pluginTemplate.customPrompts[key].default || '',
+				});
+			}
 		}
 	}
 
-	return [...builtInPrompts, ...customPromptsList];
+	return allPrompts;
 };
 
 const getVariantVars = ( variants, variant ) => {