diff --git a/vfs/cache.go b/vfs/cache.go
index 8a9ade07a..18f85a8cf 100644
--- a/vfs/cache.go
+++ b/vfs/cache.go
@@ -381,6 +381,15 @@ func (c *cache) removeDir(dir string) bool {
 	return false
 }
 
+// setModTime should be called to set the modification time of the cache file
+func (c *cache) setModTime(name string, modTime time.Time) {
+	osPath := c.toOSPath(name)
+	err := os.Chtimes(osPath, modTime, modTime)
+	if err != nil {
+		fs.Errorf(name, "Failed to set modification time of cached file: %v", err)
+	}
+}
+
 // cleanUp empties the cache of everything
 func (c *cache) cleanUp() error {
 	return os.RemoveAll(c.root)
diff --git a/vfs/file.go b/vfs/file.go
index c3a227b74..16f0581ff 100644
--- a/vfs/file.go
+++ b/vfs/file.go
@@ -88,11 +88,17 @@ func (f *File) Name() (name string) {
 	return f.leaf
 }
 
+// _path returns the full path of the file
+// use when lock is held
+func (f *File) _path() string {
+	return path.Join(f.d.path, f.leaf)
+}
+
 // Path returns the full path of the file
 func (f *File) Path() string {
 	f.mu.RLock()
 	defer f.mu.RUnlock()
-	return path.Join(f.d.path, f.leaf)
+	return f._path()
 }
 
 // osPath returns the full path of the file in the cache in OS format
@@ -372,6 +378,12 @@ func (f *File) _applyPendingModTime() error {
 		return errors.New("Cannot apply ModTime, file object is not available")
 	}
 
+	// set the time of the file in the cache
+	if f.d.vfs.Opt.CacheMode != CacheModeOff {
+		f.d.vfs.cache.setModTime(f._path(), f.pendingModTime)
+	}
+
+	// set the time of the object
 	err := f.o.SetModTime(context.TODO(), f.pendingModTime)
 	switch err {
 	case nil:
diff --git a/vfs/read_write_test.go b/vfs/read_write_test.go
index ef4a6ec48..13555db1b 100644
--- a/vfs/read_write_test.go
+++ b/vfs/read_write_test.go
@@ -2,6 +2,7 @@ package vfs
 
 import (
 	"context"
+	"fmt"
 	"io"
 	"io/ioutil"
 	"os"
@@ -687,7 +688,12 @@ func TestRWFileModTimeWithOpenWriters(t *testing.T) {
 	err = fh.Node().SetModTime(mtime)
 	require.NoError(t, err)
 
-	err = fh.Close()
+	// Using Flush/Release to mimic mount instead of Close
+
+	err = fh.Flush()
+	require.NoError(t, err)
+
+	err = fh.Release()
 	require.NoError(t, err)
 
 	info, err := vfs.Stat("file1")
@@ -695,8 +701,11 @@ func TestRWFileModTimeWithOpenWriters(t *testing.T) {
 
 	if r.Fremote.Precision() != fs.ModTimeNotSupported {
 		// avoid errors because of timezone differences
-		assert.Equal(t, info.ModTime().Unix(), mtime.Unix())
+		assert.Equal(t, info.ModTime().Unix(), mtime.Unix(), fmt.Sprintf("Time mismatch: %v != %v", info.ModTime(), mtime))
 	}
+
+	file1 := fstest.NewItem("file1", "hi", mtime)
+	fstest.CheckItems(t, r.Fremote, file1)
 }
 
 func TestRWCacheRename(t *testing.T) {