diff --git a/test/functional/pdo_sqlsrv/pdo_707_ae_output_param_decimals.phpt b/test/functional/pdo_sqlsrv/pdo_707_ae_output_param_decimals.phpt
new file mode 100644
index 00000000..28954175
--- /dev/null
+++ b/test/functional/pdo_sqlsrv/pdo_707_ae_output_param_decimals.phpt
@@ -0,0 +1,163 @@
+--TEST--
+GitHub issue 707 - binding decimals/numerics to integers or booleans with ColumnEncryption
+--DESCRIPTION--
+Verifies that the double values will be rounded as integers or returned as booleans
+The key of this test is to connect with ColumnEncryption enabled, and the table columns
+do not need to be encrypted
+--ENV--
+PHPT_EXEC=true
+--SKIPIF--
+<?php require('skipif_unix.inc'); ?>
+--FILE--
+<?php
+require_once("MsSetup.inc");
+require_once("MsCommon_mid-refactor.inc");
+
+$error = "Error converting a double (value out of range) to an integer";
+
+function skipTest($conn)
+{
+    $msodbcsql_ver = $conn->getAttribute(PDO::ATTR_CLIENT_VERSION)["DriverVer"];
+    $msodbcsql_maj = explode(".", $msodbcsql_ver)[0];
+    if ($msodbcsql_maj < 17) {
+        return true;
+    }
+    
+    global $daasMode;
+    if ($daasMode) {
+        // running against Azure
+        return false;
+    }
+    // otherwise, check server version
+    $server_ver = $conn->getAttribute(PDO::ATTR_SERVER_VERSION);
+    if (explode('.', $server_ver)[0] < 13) {
+        return true;
+    }
+    
+    return false;
+}
+
+function getOutputs($stmt, $outSql, $id, $pdoParamType, $inout = false) 
+{
+    $dec = $num = 0;
+    
+    if ($inout) {
+        $paramType = $pdoParamType | PDO::PARAM_INPUT_OUTPUT;
+    } else {
+        $paramType = $pdoParamType;
+    }
+
+    $stmt->bindParam(1, $id, PDO::PARAM_INT);
+    $stmt->bindParam(2, $dec, $paramType, PDO::SQLSRV_PARAM_OUT_DEFAULT_SIZE);
+    $stmt->bindParam(3, $num, $paramType, PDO::SQLSRV_PARAM_OUT_DEFAULT_SIZE);
+    
+    $stmt->execute();
+    
+    if ($pdoParamType == PDO::PARAM_BOOL) {
+        if (!$dec || !$num) {
+            echo "The returned booleans ($dec, $num) were unexpected!\n";
+        }
+    } else {
+        if ($dec != 100 || $num != 200) {
+            echo "The returned integers ($dec, $num) were unexpected!\n";
+        }
+    }
+}
+
+function getOutputsWithException($stmt, $outSql, $id, $pdoParamType, $inout = false)
+{
+    global $error;
+    
+    try {
+        getOutputs($stmt, $outSql, $id, $pdoParamType, $inout);
+    } catch (PDOException $e) {
+        $message = $e->getMessage();
+        $found = strpos($message, $error);
+        if ($found === false) {
+            echo "Exception message unexpected!\n";
+        }
+    }
+}
+
+function getSmallNumbers($conn, $outSql)
+{
+    $stmt = $conn->prepare($outSql);
+    getOutputs($stmt, $outSql, 1, PDO::PARAM_BOOL);
+    getOutputs($stmt, $outSql, 1, PDO::PARAM_INT);
+
+    getOutputs($stmt, $outSql, 1, PDO::PARAM_BOOL, true);
+    getOutputs($stmt, $outSql, 1, PDO::PARAM_INT, true);
+    
+    unset($stmt);
+}
+
+function getHugeNumbers($conn, $outSql)
+{
+    // Expects an exception for each call
+    $stmt = $conn->prepare($outSql);
+    
+    getOutputsWithException($stmt, $outSql, 2, PDO::PARAM_BOOL);
+    getOutputsWithException($stmt, $outSql, 2, PDO::PARAM_INT);
+
+    getOutputsWithException($stmt, $outSql, 2, PDO::PARAM_BOOL, true);
+    getOutputsWithException($stmt, $outSql, 2, PDO::PARAM_INT, true);
+
+    unset($stmt);
+}
+
+try {
+    // Check eligibility
+    $conn = new PDO( "sqlsrv:server = $server", $uid, $pwd );
+    if (skipTest($conn)) {
+        echo "Done\n";
+        return;
+    }
+    unset($conn);
+
+    // Connection with column encryption enabled
+    $connectionInfo = "ColumnEncryption = Enabled;";
+    $conn = new PDO("sqlsrv:server = $server; database=$databaseName; $connectionInfo", $uid, $pwd);
+    $conn->setAttribute(PDO::ATTR_ERRMODE, PDO::ERRMODE_EXCEPTION);
+    
+    $tableName = "test_707_decimals";
+    $procName = "sp_test_707_decimals";
+    
+    dropTable($conn, $tableName);
+    dropProc($conn, $procName);
+    
+    // Create a test table
+    $tsql = "CREATE TABLE $tableName (id int identity(1,1), c1_decimal decimal(19,4), c2_numeric numeric(20, 6))";
+    $stmt = $conn->query($tsql);
+    unset($stmt);
+    
+    // Insert two rows
+    $tsql = "INSERT INTO $tableName (c1_decimal, c2_numeric) VALUES (100.078, 200.034)";
+    $stmt = $conn->query($tsql);
+    unset($stmt);
+
+    $tsql = "INSERT INTO $tableName (c1_decimal, c2_numeric) VALUES (199999999999.0123, 999243876923.09887)";
+    $stmt = $conn->query($tsql);
+    unset($stmt);
+
+    // Create a stored procedure
+    $procArgs = "@id int, @c_decimal decimal(19,4) OUTPUT, @c_numeric numeric(20, 6) OUTPUT";
+    $procCode = "SELECT @c_decimal = c1_decimal, @c_numeric = c2_numeric FROM $tableName WHERE id = @id";
+    createProc($conn, $procName, $procArgs, $procCode);
+
+    // Read them back by calling the stored procedure
+    $outSql = getCallProcSqlPlaceholders($procName, 3);
+    getSmallNumbers($conn, $outSql);
+    getHugeNumbers($conn, $outSql);
+    
+    dropProc($conn, $procName);
+    dropTable($conn, $tableName);
+    
+    unset($conn);
+    echo "Done\n";
+} catch( PDOException $e ) {
+    print_r( $e->getMessage() );
+}
+
+?>
+--EXPECT--
+Done
\ No newline at end of file