diff --git a/lib/service/invoices.go b/lib/service/invoices.go
index 9033d4d..9a33e48 100644
--- a/lib/service/invoices.go
+++ b/lib/service/invoices.go
@@ -48,6 +48,14 @@ func (svc *LndhubService) FindInvoiceByPaymentHash(ctx context.Context, userId i
 
 func (svc *LndhubService) SendInternalPayment(ctx context.Context, invoice *models.Invoice) (SendPaymentResponse, error) {
 	sendPaymentResponse := SendPaymentResponse{}
+	//Check if it's a keysend payment
+	//If it is, an invoice will be created on-the-fly
+	if invoice.Keysend {
+		err := svc.HandleInternalKeysendPayment(ctx, invoice)
+		if err != nil {
+			return sendPaymentResponse, err
+		}
+	}
 	// find invoice
 	var incomingInvoice models.Invoice
 	err := svc.DB.NewSelect().Model(&incomingInvoice).Where("type = ? AND payment_request = ? AND state = ? ", common.InvoiceTypeIncoming, invoice.PaymentRequest, common.InvoiceStateOpen).Limit(1).Scan(ctx)
diff --git a/lib/service/invoicesubscription.go b/lib/service/invoicesubscription.go
index e1466e6..310a75c 100644
--- a/lib/service/invoicesubscription.go
+++ b/lib/service/invoicesubscription.go
@@ -17,6 +17,33 @@ import (
 	"github.com/uptrace/bun"
 )
 
+func (svc *LndhubService) HandleInternalKeysendPayment(ctx context.Context, invoice *models.Invoice) error {
+	//Find the payee user
+	user, err := svc.FindUserByLogin(ctx, string(invoice.DestinationCustomRecords[TLV_WALLET_ID]))
+	if err != nil {
+		return err
+	}
+	expiry := time.Hour * 24
+	incomingInvoice := models.Invoice{
+		Type:                     common.InvoiceTypeIncoming,
+		UserID:                   user.ID,
+		Amount:                   invoice.Amount,
+		Internal:                 true,
+		Memo:                     "Keysend payment",
+		State:                    common.InvoiceStateInitialized,
+		ExpiresAt:                bun.NullTime{Time: time.Now().Add(expiry)},
+		Keysend:                  true,
+		RHash:                    invoice.RHash,
+		Preimage:                 invoice.Preimage,
+		DestinationCustomRecords: invoice.DestinationCustomRecords,
+		DestinationPubkeyHex:     svc.IdentityPubkey,
+		AddIndex:                 invoice.AddIndex,
+	}
+	//persist the incoming invoice
+	_, err = svc.DB.NewInsert().Model(&incomingInvoice).Exec(ctx)
+	return err
+}
+
 func (svc *LndhubService) HandleKeysendPayment(ctx context.Context, rawInvoice *lnrpc.Invoice) error {
 	var invoice models.Invoice
 	rHashStr := hex.EncodeToString(rawInvoice.RHash)