Entering the following command I accidentally specified the wrong location:

bin/elytron-tool.sh credential-store --add=example --location=stndalone/configuration/credentials.store
Credential store password: 
Exception encountered executing the command:
ELY09518: Automatic storage creation for the Credential Store is disabled "stndalone/configuration/credentials.store"

However the error reported was after I had been prompted for the password.

If the tool detects a location has been specified that does not exist and creation has not been enabled this could be reported before prompting for a password.

The code for the credential-store command can be found here.