diff --git a/collects/tests/typed-racket/succeed/parameter-proc.rkt b/collects/tests/typed-racket/succeed/parameter-proc.rkt
new file mode 100644
index 00000000..ef95fb22
--- /dev/null
+++ b/collects/tests/typed-racket/succeed/parameter-proc.rkt
@@ -0,0 +1,7 @@
+#lang typed/racket
+(require/typed racket
+               (current-directory (-> Path)))
+
+(unless (equal? (parameter? current-directory)
+                (if (parameter? current-directory) #t #f))
+  (error 'unsound!))
\ No newline at end of file
diff --git a/collects/typed-racket/rep/type-rep.rkt b/collects/typed-racket/rep/type-rep.rkt
index 5ad74889..1f55ced5 100644
--- a/collects/typed-racket/rep/type-rep.rkt
+++ b/collects/typed-racket/rep/type-rep.rkt
@@ -366,7 +366,7 @@
 ;; in : Type
 ;; out : Type
 (def-type Param ([in Type/c] [out Type/c])
-  [#:key 'parameter]
+  [#:key 'procedure]
   [#:frees (λ (f) (combine-frees (list (f out) (flip-variances (f in)))))])
 
 ;; key : Type