Consider your paint gone, or soon to be gone. You could seal off the filler hole and do a pressure test through the petcock/s, maybe 20-40 PSI. A radiator shop should be able to do that test for you and maybe repair it if the test shows a leak. There may be just a layer of rust between the steel and paint, I've seen that happen before. After testing or repairs, clean and seal the inside, fill, smooth and paint the outside.
Scott