diff --git a/src/nvim/edit.c b/src/nvim/edit.c
index 4c00547daa..f6ca11761a 100644
--- a/src/nvim/edit.c
+++ b/src/nvim/edit.c
@@ -5751,8 +5751,12 @@ stop_insert (
       }
       if (curwin->w_cursor.lnum != tpos.lnum)
         curwin->w_cursor = tpos;
-      else if (cc != NUL)
-        ++curwin->w_cursor.col;         /* put cursor back on the NUL */
+      else {
+        tpos.col++;
+        if (cc != NUL && gchar_pos(&tpos) == NUL) {
+          ++curwin->w_cursor.col;         // put cursor back on the NUL
+        }
+      }
 
       /* <C-S-Right> may have started Visual mode, adjust the position for
        * deleted characters. */
diff --git a/src/nvim/version.c b/src/nvim/version.c
index e34db7f40a..5e3331317d 100644
--- a/src/nvim/version.c
+++ b/src/nvim/version.c
@@ -253,7 +253,7 @@ static int included_patches[] = {
   //495 NA
   494,
   493,
-  //492,
+  492,
   491,
   490,
   489,
diff --git a/test/functional/legacy/004_bufenter_with_modelines_spec.lua b/test/functional/legacy/004_bufenter_with_modelines_spec.lua
index 6f009b52dd..34e702b798 100644
--- a/test/functional/legacy/004_bufenter_with_modelines_spec.lua
+++ b/test/functional/legacy/004_bufenter_with_modelines_spec.lua
@@ -46,6 +46,12 @@ describe('BufEnter with modelines', function()
     -- Include Xxx in the current file
     feed('G:r Xxx<CR>')
 
+    -- Vim issue #57 do not move cursor on <c-o> when autoindent is set
+    execute('set fo+=r')
+    feed('G')
+    feed('o# abcdef<Esc>2hi<CR><c-o>d0<Esc>')
+    feed('o# abcdef<Esc>2hi<c-o>d0<Esc>')
+
     expect([[
       startstart
       start of test file Xxx
@@ -63,7 +69,10 @@ describe('BufEnter with modelines', function()
           this is a test
           this is a test
       this should be in column 1
-      end of test file Xxx]])
+      end of test file Xxx
+      # abc
+      def
+      def]])
   end)
 
   teardown(function()