diff --git a/bin/refinerycms b/bin/refinerycms
index 39efadea05..5ba9bde331 100755
--- a/bin/refinerycms
+++ b/bin/refinerycms
@@ -116,7 +116,14 @@ module Refinery
         bundle!
 
         # Ensure the database exists so that queries like .table_exists? don't fail.
-        run_command("rake -f \"#{@app_path.join('Rakefile')}\" db:create")
+        puts "\nCreating a new database.."
+        # Warn about incorrect username or password.
+        unless @options[:database][:adapter] == 'sqlite3'
+          note = "NOTE: if your database username is not '#{@options[:database][:username]}'"
+          note << " or your password is not '#{@options[:database][:password]}' then the installer will stop working here.\n\n"
+          puts note
+        end
+        run_command("rake -f \"#{@app_path.join('Rakefile')}\" db:create", {:fail => "Unable to create the application's database"})
       else
         # Update the current application.
         update!
@@ -242,8 +249,10 @@ module Refinery
       if !$?.success? or rails_output.to_s.length == 0 or rails_output =~ /^(Can't\ initialize|Error)/
         puts "Generating Rails application failed. Exiting..."
         exit(1)
-      elsif defined? JRUBY_VERSION
-        find_and_replace(@app_path.join('Gemfile'), /['|"]sqlite3['|"]/, "'activerecord-jdbcsqlite3-adapter'")
+      else
+        if defined? JRUBY_VERSION
+          find_and_replace(@app_path.join('Gemfile'), /['|"]sqlite3['|"]/, "'activerecord-jdbcsqlite3-adapter'")
+        end
 
         # Override username and password
         find_and_replace('config/database.yml', %r{username:.*}, "username: #{@options[:database][:username]}")