diff --git a/lndclient_mock.go b/lndclient_mock.go
index b626510..f10c6b3 100644
--- a/lndclient_mock.go
+++ b/lndclient_mock.go
@@ -27,16 +27,18 @@ type lndclientMock struct {
 	htlcInterceptorRequests  chan *interceptedEvent
 	htlcInterceptorResponses chan *interceptResponse
 
-	channels map[uint64]*channel
+	channels       map[uint64]*channel
+	closedChannels map[uint64]*channel
 }
 
-func newLndclientMock(channels map[uint64]*channel) *lndclientMock {
+func newLndclientMock(channels, closedChannels map[uint64]*channel) *lndclientMock {
 	return &lndclientMock{
 		htlcEvents:               make(chan *resolvedEvent),
 		htlcInterceptorRequests:  make(chan *interceptedEvent),
 		htlcInterceptorResponses: make(chan *interceptResponse),
 
-		channels: channels,
+		channels:       channels,
+		closedChannels: closedChannels,
 	}
 }
 
@@ -51,7 +53,7 @@ func (l *lndclientMock) listChannels() (map[uint64]*channel, error) {
 }
 
 func (l *lndclientMock) listClosedChannels() (map[uint64]*channel, error) {
-	return make(map[uint64]*channel), nil
+	return l.closedChannels, nil
 }
 
 func (l *lndclientMock) subscribeHtlcEvents(ctx context.Context) (
diff --git a/process.go b/process.go
index c80621b..a88ad14 100644
--- a/process.go
+++ b/process.go
@@ -526,6 +526,23 @@ func (p *process) getChanInfo(channel uint64) (*channel, error) {
 		return ch, nil
 	}
 
+	// If the channel is not open, fall back to checking our closed
+	// channels.
+	closedChannels, err := p.client.listClosedChannels()
+	if err != nil {
+		return nil, err
+	}
+
+	// Add to cache and try again.
+	for chanId, ch := range closedChannels {
+		p.chanMap[chanId] = ch
+	}
+
+	ch, ok = p.chanMap[channel]
+	if ok {
+		return ch, nil
+	}
+
 	// Channel not found.
 	return nil, fmt.Errorf("%w: %v", errChannelNotFound, channel)
 }
diff --git a/process_test.go b/process_test.go
index 0feb159..3706470 100644
--- a/process_test.go
+++ b/process_test.go
@@ -33,7 +33,7 @@ const (
 )
 
 func testProcess(t *testing.T, event resolveEvent) {
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
 
@@ -130,7 +130,7 @@ func testRateLimit(t *testing.T, mode Mode) {
 		},
 	}
 
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
 
@@ -222,7 +222,7 @@ func testMaxPending(t *testing.T, mode Mode) {
 		},
 	}
 
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
 
@@ -278,7 +278,7 @@ func testMaxPending(t *testing.T, mode Mode) {
 
 func TestNewPeer(t *testing.T) {
 	// Initialize lnd with test channels.
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
@@ -335,7 +335,7 @@ func TestBlocked(t *testing.T) {
 		},
 	}
 
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
 
@@ -370,7 +370,7 @@ func TestBlocked(t *testing.T) {
 // TestChannelNotFound tests that we'll successfully exit when we cannot lookup the
 // channel that a htlc belongs to.
 func TestChannelNotFound(t *testing.T) {
-	client := newLndclientMock(testChannels)
+	client := newLndclientMock(testChannels, nil)
 
 	ctx, cancel := context.WithCancel(context.Background())
 	defer cancel()
@@ -407,3 +407,47 @@ func TestChannelNotFound(t *testing.T) {
 		t.Fatalf("timeout on process error")
 	}
 }
+
+// TestClosedChannelHtlc tests that we can handle intercepted htlcs that are associated
+// with closed channels.
+func TestClosedChannelHtlc(t *testing.T) {
+	// Initialize lnd with a closed channel.
+	var testClosedChannels = map[uint64]*channel{
+		5: {peer: route.Vertex{2}},
+	}
+	client := newLndclientMock(testChannels, testClosedChannels)
+
+	ctx, cancel := context.WithCancel(context.Background())
+	defer cancel()
+
+	db, cleanup := setupTestDb(t, defaultFwdHistoryLimit)
+	defer cleanup()
+
+	log := zaptest.NewLogger(t).Sugar()
+
+	cfg := &Limits{}
+
+	p := NewProcess(client, log, cfg, db)
+
+	exit := make(chan error)
+
+	go func() {
+		exit <- p.Run(ctx)
+	}()
+
+	// Send a htlc that is from a closed channel, it should be given the go-ahead to
+	// resume.
+	key := circuitKey{
+		channel: 5,
+		htlc:    3,
+	}
+	client.htlcInterceptorRequests <- &interceptedEvent{
+		circuitKey: key,
+	}
+
+	resp := <-client.htlcInterceptorResponses
+	require.Equal(t, key, resp.key)
+
+	cancel()
+	require.ErrorIs(t, <-exit, context.Canceled)
+}