diff --git a/dev_config/python/ruff.toml b/dev_config/python/ruff.toml
index af56e7e9d342..2ffc222fd980 100644
--- a/dev_config/python/ruff.toml
+++ b/dev_config/python/ruff.toml
@@ -24,3 +24,6 @@ inline-quotes = "single"
 
 [format]
 quote-style = "single"
+
+[lint.flake8-bugbear]
+extend-immutable-calls = ["Depends", "fastapi.Depends", "fastapi.params.Depends"]
diff --git a/openhands/runtime/base.py b/openhands/runtime/base.py
index 6b10ac07c9bf..f511a8b92fd8 100644
--- a/openhands/runtime/base.py
+++ b/openhands/runtime/base.py
@@ -12,6 +12,7 @@
 from typing import Callable
 from zipfile import ZipFile
 
+from pydantic import SecretStr
 from requests.exceptions import ConnectionError
 
 from openhands.core.config import AppConfig, SandboxConfig
@@ -234,12 +235,12 @@ async def _handle_action(self, event: Action) -> None:
         source = event.source if event.source else EventSource.AGENT
         self.event_stream.add_event(observation, source)  # type: ignore[arg-type]
 
-    def clone_repo(self, github_token: str, selected_repository: str) -> str:
+    def clone_repo(self, github_token: SecretStr, selected_repository: str) -> str:
         if not github_token or not selected_repository:
             raise ValueError(
                 'github_token and selected_repository must be provided to clone a repository'
             )
-        url = f'https://{github_token}@github.com/{selected_repository}.git'
+        url = f'https://{github_token.get_secret_value()}@github.com/{selected_repository}.git'
         dir_name = selected_repository.split('/')[1]
         # add random branch name to avoid conflicts
         random_str = ''.join(
diff --git a/openhands/server/auth.py b/openhands/server/auth.py
index d54577a66524..fa28dafbf45e 100644
--- a/openhands/server/auth.py
+++ b/openhands/server/auth.py
@@ -1,7 +1,8 @@
 from fastapi import Request
+from pydantic import SecretStr
 
 
-def get_github_token(request: Request) -> str | None:
+def get_github_token(request: Request) -> SecretStr | None:
     return getattr(request.state, 'github_token', None)
 
 
diff --git a/openhands/server/config/server_config.py b/openhands/server/config/server_config.py
index 456567ef5783..32b2deab4ed0 100644
--- a/openhands/server/config/server_config.py
+++ b/openhands/server/config/server_config.py
@@ -18,7 +18,7 @@ class ServerConfig(ServerConfigInterface):
     )
     conversation_manager_class: str = 'openhands.server.conversation_manager.standalone_conversation_manager.StandaloneConversationManager'
 
-    github_service_class: str = 'openhands.server.services.github_service.GitHubService'
+    github_service_class: str = 'openhands.services.github.github_service.GitHubService'
 
     def verify_config(self):
         if self.config_cls:
diff --git a/openhands/server/middleware.py b/openhands/server/middleware.py
index cf72579197ab..734d52004bc5 100644
--- a/openhands/server/middleware.py
+++ b/openhands/server/middleware.py
@@ -196,7 +196,7 @@ async def __call__(self, request: Request, call_next: Callable):
         # TODO: To avoid checks like this we should re-add the abilty to have completely different middleware in SAAS as in OSS
         if getattr(request.state, 'github_token', None) is None:
             if settings and settings.github_token:
-                request.state.github_token = settings.github_token.get_secret_value()
+                request.state.github_token = settings.github_token
             else:
                 request.state.github_token = None
 
diff --git a/openhands/server/routes/github.py b/openhands/server/routes/github.py
index 889b7a30da90..c50c1b2ca72b 100644
--- a/openhands/server/routes/github.py
+++ b/openhands/server/routes/github.py
@@ -1,11 +1,15 @@
 from fastapi import APIRouter, Depends
 from fastapi.responses import JSONResponse
+from pydantic import SecretStr
 
-from openhands.server.auth import get_user_id
-from openhands.server.data_models.gh_types import GitHubRepository, GitHubUser
-from openhands.server.services.github_service import GitHubService
+from openhands.server.auth import get_github_token, get_user_id
 from openhands.server.shared import server_config
-from openhands.server.types import GhAuthenticationError, GHUnknownException
+from openhands.services.github.github_service import (
+    GhAuthenticationError,
+    GHUnknownException,
+    GitHubService,
+)
+from openhands.services.github.github_types import GitHubRepository, GitHubUser
 from openhands.utils.import_utils import get_impl
 
 app = APIRouter(prefix='/api/github')
@@ -20,8 +24,9 @@ async def get_github_repositories(
     sort: str = 'pushed',
     installation_id: int | None = None,
     github_user_id: str | None = Depends(get_user_id),
+    github_user_token: SecretStr | None = Depends(get_github_token),
 ):
-    client = GithubServiceImpl(github_user_id)
+    client = GithubServiceImpl(user_id=github_user_id, token=github_user_token)
     try:
         repos: list[GitHubRepository] = await client.get_repositories(
             page, per_page, sort, installation_id
@@ -44,8 +49,9 @@ async def get_github_repositories(
 @app.get('/user')
 async def get_github_user(
     github_user_id: str | None = Depends(get_user_id),
+    github_user_token: SecretStr | None = Depends(get_github_token),
 ):
-    client = GithubServiceImpl(github_user_id)
+    client = GithubServiceImpl(user_id=github_user_id, token=github_user_token)
     try:
         user: GitHubUser = await client.get_user()
         return user
@@ -66,8 +72,9 @@ async def get_github_user(
 @app.get('/installations')
 async def get_github_installation_ids(
     github_user_id: str | None = Depends(get_user_id),
+    github_user_token: SecretStr | None = Depends(get_github_token),
 ):
-    client = GithubServiceImpl(github_user_id)
+    client = GithubServiceImpl(user_id=github_user_id, token=github_user_token)
     try:
         installations_ids: list[int] = await client.get_installation_ids()
         return installations_ids
@@ -92,8 +99,9 @@ async def search_github_repositories(
     sort: str = 'stars',
     order: str = 'desc',
     github_user_id: str | None = Depends(get_user_id),
+    github_user_token: SecretStr | None = Depends(get_github_token),
 ):
-    client = GithubServiceImpl(github_user_id)
+    client = GithubServiceImpl(user_id=github_user_id, token=github_user_token)
     try:
         repos: list[GitHubRepository] = await client.search_repositories(
             query, per_page, sort, order
diff --git a/openhands/server/routes/manage_conversations.py b/openhands/server/routes/manage_conversations.py
index 2a453e30f1d3..41c79a2d25fa 100644
--- a/openhands/server/routes/manage_conversations.py
+++ b/openhands/server/routes/manage_conversations.py
@@ -4,13 +4,13 @@
 
 from fastapi import APIRouter, Body, Request
 from fastapi.responses import JSONResponse
-from pydantic import BaseModel
+from pydantic import BaseModel, SecretStr
 
 from openhands.core.logger import openhands_logger as logger
 from openhands.events.action.message import MessageAction
 from openhands.events.stream import EventStreamSubscriber
 from openhands.runtime import get_runtime_cls
-from openhands.server.auth import get_user_id
+from openhands.server.auth import get_github_token, get_user_id
 from openhands.server.routes.github import GithubServiceImpl
 from openhands.server.session.conversation_init_data import ConversationInitData
 from openhands.server.shared import (
@@ -44,7 +44,7 @@ class InitSessionRequest(BaseModel):
 
 async def _create_new_conversation(
     user_id: str | None,
-    token: str | None,
+    token: SecretStr | None,
     selected_repository: str | None,
     initial_user_msg: str | None,
     image_urls: list[str] | None,
@@ -72,7 +72,7 @@ async def _create_new_conversation(
         logger.warn('Settings not present, not starting conversation')
         raise MissingSettingsError('Settings not found')
 
-    session_init_args['github_token'] = token or ''
+    session_init_args['github_token'] = token or SecretStr('')
     session_init_args['selected_repository'] = selected_repository
     conversation_init_data = ConversationInitData(**session_init_args)
     logger.info('Loading conversation store')
@@ -131,7 +131,9 @@ async def new_conversation(request: Request, data: InitSessionRequest):
     """
     logger.info('Initializing new conversation')
     user_id = get_user_id(request)
-    github_token = GithubServiceImpl.get_gh_token(request)
+    github_service = GithubServiceImpl(user_id=user_id, token=get_github_token(request))
+    github_token = await github_service.get_latest_token()
+
     selected_repository = data.selected_repository
     initial_user_msg = data.initial_user_msg
     image_urls = data.image_urls or []
diff --git a/openhands/server/routes/settings.py b/openhands/server/routes/settings.py
index d14c113a6549..8fb7b5f06c4d 100644
--- a/openhands/server/routes/settings.py
+++ b/openhands/server/routes/settings.py
@@ -1,11 +1,12 @@
 from fastapi import APIRouter, Request, status
 from fastapi.responses import JSONResponse
+from pydantic import SecretStr
 
 from openhands.core.logger import openhands_logger as logger
-from openhands.server.auth import get_user_id
-from openhands.server.services.github_service import GitHubService
+from openhands.server.auth import get_github_token, get_user_id
 from openhands.server.settings import GETSettingsModel, POSTSettingsModel, Settings
 from openhands.server.shared import SettingsStoreImpl, config
+from openhands.services.github.github_service import GitHubService
 
 app = APIRouter(prefix='/api')
 
@@ -22,7 +23,7 @@ async def load_settings(request: Request) -> GETSettingsModel | None:
                 content={'error': 'Settings not found'},
             )
 
-        token_is_set = bool(user_id) or bool(request.state.github_token)
+        token_is_set = bool(user_id) or bool(get_github_token(request))
         settings_with_token_data = GETSettingsModel(
             **settings.model_dump(),
             github_token_is_set=token_is_set,
@@ -50,8 +51,8 @@ async def store_settings(
         try:
             # We check if the token is valid by getting the user
             # If the token is invalid, this will raise an exception
-            github = GitHubService(None)
-            await github.validate_user(settings.github_token)
+            github = GitHubService(user_id=None, token=SecretStr(settings.github_token))
+            await github.get_user()
 
         except Exception as e:
             logger.warning(f'Invalid GitHub token: {e}')
diff --git a/openhands/server/session/agent_session.py b/openhands/server/session/agent_session.py
index 59afdf141c10..37202e2bcbac 100644
--- a/openhands/server/session/agent_session.py
+++ b/openhands/server/session/agent_session.py
@@ -2,6 +2,8 @@
 import time
 from typing import Callable, Optional
 
+from pydantic import SecretStr
+
 from openhands.controller import AgentController
 from openhands.controller.agent import Agent
 from openhands.controller.state.state import State
@@ -69,7 +71,7 @@ async def start(
         max_budget_per_task: float | None = None,
         agent_to_llm_config: dict[str, LLMConfig] | None = None,
         agent_configs: dict[str, AgentConfig] | None = None,
-        github_token: str | None = None,
+        github_token: SecretStr | None = None,
         selected_repository: str | None = None,
         initial_message: MessageAction | None = None,
     ):
@@ -113,7 +115,7 @@ async def start(
         if github_token:
             self.event_stream.set_secrets(
                 {
-                    'github_token': github_token,
+                    'github_token': github_token.get_secret_value(),
                 }
             )
         if initial_message:
@@ -177,7 +179,7 @@ async def _create_runtime(
         runtime_name: str,
         config: AppConfig,
         agent: Agent,
-        github_token: str | None = None,
+        github_token: SecretStr | None = None,
         selected_repository: str | None = None,
     ):
         """Creates a runtime instance
@@ -195,7 +197,7 @@ async def _create_runtime(
         runtime_cls = get_runtime_cls(runtime_name)
         env_vars = (
             {
-                'GITHUB_TOKEN': github_token,
+                'GITHUB_TOKEN': github_token.get_secret_value(),
             }
             if github_token
             else None
diff --git a/openhands/server/session/conversation_init_data.py b/openhands/server/session/conversation_init_data.py
index 82979e91fd96..8773f48b326a 100644
--- a/openhands/server/session/conversation_init_data.py
+++ b/openhands/server/session/conversation_init_data.py
@@ -1,4 +1,4 @@
-from pydantic import Field
+from pydantic import Field, SecretStr
 
 from openhands.server.settings import Settings
 
@@ -8,5 +8,5 @@ class ConversationInitData(Settings):
     Session initialization data for the web environment - a deep copy of the global config is made and then overridden with this data.
     """
 
-    github_token: str | None = Field(default=None)
+    github_token: SecretStr | None = Field(default=None)
     selected_repository: str | None = Field(default=None)
diff --git a/openhands/server/types.py b/openhands/server/types.py
index da115de8cda5..4c8c1dc96a1c 100644
--- a/openhands/server/types.py
+++ b/openhands/server/types.py
@@ -42,15 +42,3 @@ class LLMAuthenticationError(ValueError):
     """Raised when there is an issue with LLM authentication."""
 
     pass
-
-
-class GhAuthenticationError(ValueError):
-    """Raised when there is an issue with LLM authentication."""
-
-    pass
-
-
-class GHUnknownException(ValueError):
-    """Raised when there is an issue with LLM authentication."""
-
-    pass
diff --git a/openhands/server/services/github_service.py b/openhands/services/github/github_service.py
similarity index 72%
rename from openhands/server/services/github_service.py
rename to openhands/services/github/github_service.py
index 9ade12f8a852..92d14c5653ed 100644
--- a/openhands/server/services/github_service.py
+++ b/openhands/services/github/github_service.py
@@ -1,41 +1,45 @@
 from typing import Any
 
 import httpx
-from fastapi import Request
+from pydantic import SecretStr
 
-from openhands.server.auth import get_github_token
-from openhands.server.data_models.gh_types import GitHubRepository, GitHubUser
-from openhands.server.shared import SettingsStoreImpl, config, server_config
-from openhands.server.types import AppMode, GhAuthenticationError, GHUnknownException
+from openhands.services.github.github_types import (
+    GhAuthenticationError,
+    GHUnknownException,
+    GitHubRepository,
+    GitHubUser,
+)
 
 
 class GitHubService:
     BASE_URL = 'https://api.github.com'
-    token: str = ''
+    token: SecretStr = SecretStr('')
+    refresh = False
 
-    def __init__(self, user_id: str | None):
+    def __init__(self, user_id: str | None = None, token: SecretStr | None = None):
         self.user_id = user_id
 
-    async def _get_github_headers(self):
+        if token:
+            self.token = token
+
+    async def _get_github_headers(self) -> dict:
         """
         Retrieve the GH Token from settings store to construct the headers
         """
 
-        settings_store = await SettingsStoreImpl.get_instance(config, self.user_id)
-        settings = await settings_store.load()
-        if settings and settings.github_token:
-            self.token = settings.github_token.get_secret_value()
+        if self.user_id and not self.token:
+            self.token = await self.get_latest_token()
 
         return {
-            'Authorization': f'Bearer {self.token}',
+            'Authorization': f'Bearer {self.token.get_secret_value()}',
             'Accept': 'application/vnd.github.v3+json',
         }
 
-    def _has_token_expired(self, status_code: int):
+    def _has_token_expired(self, status_code: int) -> bool:
         return status_code == 401
 
-    async def _get_latest_token(self):
-        pass
+    async def get_latest_token(self) -> SecretStr:
+        return self.token
 
     async def _fetch_data(
         self, url: str, params: dict | None = None
@@ -44,10 +48,8 @@ async def _fetch_data(
             async with httpx.AsyncClient() as client:
                 github_headers = await self._get_github_headers()
                 response = await client.get(url, headers=github_headers, params=params)
-                if server_config.app_mode == AppMode.SAAS and self._has_token_expired(
-                    response.status_code
-                ):
-                    await self._get_latest_token()
+                if self.refresh and self._has_token_expired(response.status_code):
+                    await self.get_latest_token()
                     github_headers = await self._get_github_headers()
                     response = await client.get(
                         url, headers=github_headers, params=params
@@ -60,8 +62,10 @@ async def _fetch_data(
 
                 return response.json(), headers
 
-        except httpx.HTTPStatusError:
-            raise GhAuthenticationError('Invalid Github token')
+        except httpx.HTTPStatusError as e:
+            if e.response.status_code == 401:
+                raise GhAuthenticationError('Invalid Github token')
+            raise GHUnknownException('Unknown error')
 
         except httpx.HTTPError:
             raise GHUnknownException('Unknown error')
@@ -79,10 +83,6 @@ async def get_user(self) -> GitHubUser:
             email=response.get('email'),
         )
 
-    async def validate_user(self, token) -> GitHubUser:
-        self.token = token
-        return await self.get_user()
-
     async def get_repositories(
         self, page: int, per_page: int, sort: str, installation_id: int | None
     ) -> list[GitHubRepository]:
@@ -133,7 +133,3 @@ async def search_repositories(
         ]
 
         return repos
-
-    @classmethod
-    def get_gh_token(cls, request: Request) -> str | None:
-        return get_github_token(request)
diff --git a/openhands/server/data_models/gh_types.py b/openhands/services/github/github_types.py
similarity index 58%
rename from openhands/server/data_models/gh_types.py
rename to openhands/services/github/github_types.py
index e6b67392bcca..d1958c9bbd19 100644
--- a/openhands/server/data_models/gh_types.py
+++ b/openhands/services/github/github_types.py
@@ -15,3 +15,15 @@ class GitHubRepository(BaseModel):
     full_name: str
     stargazers_count: int | None = None
     link_header: str | None = None
+
+
+class GhAuthenticationError(ValueError):
+    """Raised when there is an issue with GitHub authentication."""
+
+    pass
+
+
+class GHUnknownException(ValueError):
+    """Raised when there is an issue with GitHub communcation."""
+
+    pass
diff --git a/tests/unit/test_github_service.py b/tests/unit/test_github_service.py
new file mode 100644
index 000000000000..e24faf6cb12a
--- /dev/null
+++ b/tests/unit/test_github_service.py
@@ -0,0 +1,81 @@
+from unittest.mock import AsyncMock, Mock, patch
+
+import httpx
+import pytest
+from pydantic import SecretStr
+
+from openhands.services.github.github_service import GitHubService
+from openhands.services.github.github_types import GhAuthenticationError
+
+
+@pytest.mark.asyncio
+async def test_github_service_token_handling():
+    # Test initialization with SecretStr token
+    token = SecretStr('test-token')
+    service = GitHubService(user_id=None, token=token)
+    assert service.token == token
+    assert service.token.get_secret_value() == 'test-token'
+
+    # Test headers contain the token correctly
+    headers = await service._get_github_headers()
+    assert headers['Authorization'] == 'Bearer test-token'
+    assert headers['Accept'] == 'application/vnd.github.v3+json'
+
+    # Test initialization without token
+    service = GitHubService(user_id='test-user')
+    assert service.token == SecretStr('')
+
+
+@pytest.mark.asyncio
+async def test_github_service_token_refresh():
+    # Test that token refresh is only attempted when refresh=True
+    token = SecretStr('test-token')
+    service = GitHubService(user_id=None, token=token)
+    assert not service.refresh
+
+    # Test token expiry detection
+    assert service._has_token_expired(401)
+    assert not service._has_token_expired(200)
+    assert not service._has_token_expired(404)
+
+    # Test get_latest_token returns a copy of the current token
+    latest_token = await service.get_latest_token()
+    assert isinstance(latest_token, SecretStr)
+    assert latest_token.get_secret_value() == 'test-token'  # Compare with known value
+
+
+@pytest.mark.asyncio
+async def test_github_service_fetch_data():
+    # Mock httpx.AsyncClient for testing API calls
+    mock_response = AsyncMock()
+    mock_response.status_code = 200
+    mock_response.json.return_value = {'login': 'test-user'}
+    mock_response.raise_for_status = Mock()
+
+    mock_client = AsyncMock()
+    mock_client.get.return_value = mock_response
+    mock_client.__aenter__.return_value = mock_client
+    mock_client.__aexit__.return_value = None
+
+    with patch('httpx.AsyncClient', return_value=mock_client):
+        service = GitHubService(user_id=None, token=SecretStr('test-token'))
+        _ = await service._fetch_data('https://api.github.com/user')
+
+        # Verify the request was made with correct headers
+        mock_client.get.assert_called_once()
+        call_args = mock_client.get.call_args
+        headers = call_args[1]['headers']
+        assert headers['Authorization'] == 'Bearer test-token'
+
+        # Test error handling with 401 status code
+        mock_response.status_code = 401
+        mock_response.raise_for_status.side_effect = httpx.HTTPStatusError(
+            message='401 Unauthorized', request=Mock(), response=mock_response
+        )
+
+        # Reset the mock to test error handling
+        mock_client.get.reset_mock()
+        mock_client.get.return_value = mock_response
+
+        with pytest.raises(GhAuthenticationError):
+            _ = await service._fetch_data('https://api.github.com/user')