diff --git a/kong/db/schema/others/declarative_config.lua b/kong/db/schema/others/declarative_config.lua
index e04fe87144b..afbb0995721 100644
--- a/kong/db/schema/others/declarative_config.lua
+++ b/kong/db/schema/others/declarative_config.lua
@@ -243,14 +243,12 @@ local function load_plugin_subschemas(fields, plugin_set, indent)
   for _, f in ipairs(fields) do
     local fname, fdata = next(f)
 
-    if fname == "plugins" then
+    -- Exclude cases where `plugins` are used expect from plugins entities.
+    -- This assumes other entities doesn't have `name` as its subschema_key.
+    if fname == "plugins" and fdata.elements and fdata.elements.subschema_key == "name" then
       for plugin in pairs(plugin_set) do
-        local _, err, err_t = plugin_loader.load_subschema(fdata.elements, plugin, errors)
+        local _, err = plugin_loader.load_subschema(fdata.elements, plugin, errors)
 
-        if err_t then
-          return nil, "schema for plugin '" .. plugin .. "' is invalid: " ..
-                      tostring(errors:schema_violation(err_t))
-        end
         if err then
           return nil, err
         end
@@ -735,10 +733,10 @@ function DeclarativeConfig.load(plugin_set, include_foreign)
   end
 
   for plugin in pairs(plugin_set) do
-    local entities, err, err_t = plugin_loader.load_entities(plugin, errors,
+    local entities, err = plugin_loader.load_entities(plugin, errors,
                                            plugin_loader.load_entity_schema)
-    if err or err_t then
-      return nil, err, err_t
+    if err then
+      return nil, err
     end
     for entity, schema in pairs(entities) do
       all_schemas[entity] = schema
diff --git a/spec/01-unit/01-db/01-schema/11-declarative_config/01-validate_spec.lua b/spec/01-unit/01-db/01-schema/11-declarative_config/01-validate_spec.lua
index aab2e8467b3..b65e1139646 100644
--- a/spec/01-unit/01-db/01-schema/11-declarative_config/01-validate_spec.lua
+++ b/spec/01-unit/01-db/01-schema/11-declarative_config/01-validate_spec.lua
@@ -851,3 +851,61 @@ describe("declarative config: validate", function()
     end)
   end)
 end)
+
+describe("declarative config: validate", function()
+
+  local daos = {
+    ["dao-keywords"] = {
+      name = "dao-keywords",
+      primary_key = {"field1"},
+      admin_api_name = "dao-keywords",
+      admin_api_nested_name = "dao-keywords",
+      fields = {
+        {field1 = {type = "string", required = true}},
+        {field2 = {type = "string", required = true}},
+      }
+    }
+  }
+
+  local plugins_set = helpers.test_conf.loaded_plugins
+  plugins_set["dao-keywords"] = true
+
+  lazy_setup(function()
+    package.loaded["kong.plugins.dao-keywords.schema"] = {
+      name = "dao-keywords",
+      fields = {
+        { config = {
+            type = "record",
+            fields = {},
+        }, },
+      }
+    }
+
+    package.loaded["kong.plugins.dao-keywords.daos"] = daos
+  end)
+
+  lazy_teardown(function()
+    package.loaded["kong.plugins.dao-keywords.schema"] = nil
+    package.loaded["kong.plugins.dao-keywords.daos"] = nil
+  end)
+
+  it("loads plugins with custom DAO that has keywords as string", function()
+    daos["dao-keywords"]["fields"][2] = {plugins = {type = "string", required = true}}
+
+    assert(declarative_config.load(plugins_set))
+  end)
+
+  it("loads plugins with custom DAO that has keywords as array", function()
+    daos["dao-keywords"]["fields"][2] = {
+      plugins = {
+        type = "array",
+        required = false,
+        elements = {
+          type = "string",
+        },
+      },
+    }
+
+    assert(declarative_config.load(plugins_set))
+  end)
+end)