diff --git a/htlcswitch/mock.go b/htlcswitch/mock.go
index 6d27a5be9..aea001374 100644
--- a/htlcswitch/mock.go
+++ b/htlcswitch/mock.go
@@ -1014,6 +1014,7 @@ func newMockRegistry(minDelta uint32) *mockInvoiceRegistry {
 		panic(err)
 	}
 
+	modifierMock := &invoices.MockHtlcModifier{}
 	registry := invoices.NewRegistry(
 		cdb,
 		invoices.NewInvoiceExpiryWatcher(
@@ -1022,6 +1023,7 @@ func newMockRegistry(minDelta uint32) *mockInvoiceRegistry {
 		),
 		&invoices.RegistryConfig{
 			FinalCltvRejectDelta: 5,
+			HtlcInterceptor:      modifierMock,
 		},
 	)
 	registry.Start()
diff --git a/invoices/invoiceregistry.go b/invoices/invoiceregistry.go
index 7b3caa34a..c7f4cdb7b 100644
--- a/invoices/invoiceregistry.go
+++ b/invoices/invoiceregistry.go
@@ -74,6 +74,10 @@ type RegistryConfig struct {
 	// KeysendHoldTime indicates for how long we want to accept and hold
 	// spontaneous keysend payments.
 	KeysendHoldTime time.Duration
+
+	// HtlcInterceptor is an interface that allows the invoice registry to
+	// let clients intercept invoices before they are settled.
+	HtlcInterceptor HtlcInterceptor
 }
 
 // htlcReleaseEvent describes an htlc auto-release event. It is used to release
@@ -1019,13 +1023,61 @@ func (i *InvoiceRegistry) notifyExitHopHtlcLocked(
 	ctx *invoiceUpdateCtx, hodlChan chan<- interface{}) (
 	HtlcResolution, invoiceExpiry, error) {
 
+	invoiceRef := ctx.invoiceRef()
+	setID := (*SetID)(ctx.setID())
+
+	// We need to look up the current state of the invoice in order to send
+	// the previously accepted/settled HTLCs to the interceptor.
+	existingInvoice, err := i.idb.LookupInvoice(
+		context.Background(), invoiceRef,
+	)
+	switch {
+	case errors.Is(err, ErrInvoiceNotFound) ||
+		errors.Is(err, ErrNoInvoicesCreated):
+
+		// If the invoice was not found, return a failure resolution
+		// with an invoice not found result.
+		return NewFailResolution(
+			ctx.circuitKey, ctx.currentHeight,
+			ResultInvoiceNotFound,
+		), nil, nil
+
+	case err != nil:
+		ctx.log(err.Error())
+		return nil, nil, err
+	}
+
+	// Provide the invoice to the settlement interceptor to allow
+	// the interceptor's client an opportunity to manipulate the
+	// settlement process.
+	err = i.cfg.HtlcInterceptor.Intercept(HtlcModifyRequest{
+		ExitHtlcCircuitKey: ctx.circuitKey,
+		ExitHtlcAmt:        ctx.amtPaid,
+		ExitHtlcExpiry:     ctx.expiry,
+		CurrentHeight:      uint32(ctx.currentHeight),
+		Invoice:            existingInvoice,
+	}, func(resp HtlcModifyResponse) {
+		log.Debugf("Received invoice HTLC interceptor response: %v",
+			resp)
+
+		if resp.AmountPaid != 0 {
+			ctx.amtPaid = resp.AmountPaid
+		}
+	})
+	if err != nil {
+		err := fmt.Errorf("error during invoice HTLC interception: %w",
+			err)
+		ctx.log(err.Error())
+
+		return nil, nil, err
+	}
+
 	// We'll attempt to settle an invoice matching this rHash on disk (if
 	// one exists). The callback will update the invoice state and/or htlcs.
 	var (
 		resolution        HtlcResolution
 		updateSubscribers bool
 	)
-
 	callback := func(inv *Invoice) (*InvoiceUpdateDesc, error) {
 		updateDesc, res, err := updateInvoice(ctx, inv)
 		if err != nil {
@@ -1042,8 +1094,6 @@ func (i *InvoiceRegistry) notifyExitHopHtlcLocked(
 		return updateDesc, nil
 	}
 
-	invoiceRef := ctx.invoiceRef()
-	setID := (*SetID)(ctx.setID())
 	invoice, err := i.idb.UpdateInvoice(
 		context.Background(), invoiceRef, setID, callback,
 	)
@@ -1080,6 +1130,8 @@ func (i *InvoiceRegistry) notifyExitHopHtlcLocked(
 
 	var invoiceToExpire invoiceExpiry
 
+	log.Tracef("Settlement resolution: %T %v", resolution, resolution)
+
 	switch res := resolution.(type) {
 	case *HtlcFailResolution:
 		// Inspect latest htlc state on the invoice. If it is found,
@@ -1212,7 +1264,7 @@ func (i *InvoiceRegistry) notifyExitHopHtlcLocked(
 	}
 
 	// Now that the links have been notified of any state changes to their
-	// HTLCs, we'll go ahead and notify any clients wiaiting on the invoice
+	// HTLCs, we'll go ahead and notify any clients waiting on the invoice
 	// state changes.
 	if updateSubscribers {
 		// We'll add a setID onto the notification, but only if this is
diff --git a/invoices/invoiceregistry_test.go b/invoices/invoiceregistry_test.go
index b0c019522..b7b3d574a 100644
--- a/invoices/invoiceregistry_test.go
+++ b/invoices/invoiceregistry_test.go
@@ -23,6 +23,12 @@ import (
 	"github.com/stretchr/testify/require"
 )
 
+var (
+	// htlcModifierMock is a mock implementation of the invoice HtlcModifier
+	// interface.
+	htlcModifierMock = &invpkg.MockHtlcModifier{}
+)
+
 // TestInvoiceRegistry is a master test which encompasses all tests using an
 // InvoiceDB instance. The purpose of this test is to be able to run all tests
 // with a custom DB instance, so that we can test the same logic with different
@@ -517,6 +523,7 @@ func testSettleHoldInvoice(t *testing.T,
 	cfg := invpkg.RegistryConfig{
 		FinalCltvRejectDelta: testFinalCltvRejectDelta,
 		Clock:                clock,
+		HtlcInterceptor:      htlcModifierMock,
 	}
 
 	expiryWatcher := invpkg.NewInvoiceExpiryWatcher(
@@ -683,6 +690,7 @@ func testCancelHoldInvoice(t *testing.T,
 	cfg := invpkg.RegistryConfig{
 		FinalCltvRejectDelta: testFinalCltvRejectDelta,
 		Clock:                testClock,
+		HtlcInterceptor:      htlcModifierMock,
 	}
 	expiryWatcher := invpkg.NewInvoiceExpiryWatcher(
 		cfg.Clock, 0, uint32(testCurrentHeight), nil, newMockNotifier(),
@@ -1200,6 +1208,7 @@ func testInvoiceExpiryWithRegistry(t *testing.T,
 	cfg := invpkg.RegistryConfig{
 		FinalCltvRejectDelta: testFinalCltvRejectDelta,
 		Clock:                testClock,
+		HtlcInterceptor:      htlcModifierMock,
 	}
 
 	expiryWatcher := invpkg.NewInvoiceExpiryWatcher(
@@ -1310,6 +1319,7 @@ func testOldInvoiceRemovalOnStart(t *testing.T,
 		FinalCltvRejectDelta:        testFinalCltvRejectDelta,
 		Clock:                       testClock,
 		GcCanceledInvoicesOnStartup: true,
+		HtlcInterceptor:             htlcModifierMock,
 	}
 
 	expiryWatcher := invpkg.NewInvoiceExpiryWatcher(
diff --git a/invoices/test_utils_test.go b/invoices/test_utils_test.go
index ed7bfccdd..fe69cad6f 100644
--- a/invoices/test_utils_test.go
+++ b/invoices/test_utils_test.go
@@ -153,6 +153,7 @@ func defaultRegistryConfig() invpkg.RegistryConfig {
 	return invpkg.RegistryConfig{
 		FinalCltvRejectDelta: testFinalCltvRejectDelta,
 		HtlcHoldDuration:     30 * time.Second,
+		HtlcInterceptor:      &invpkg.MockHtlcModifier{},
 	}
 }