diff --git a/lnwallet/commitment.go b/lnwallet/commitment.go
index 6b1719eee..abe9288e4 100644
--- a/lnwallet/commitment.go
+++ b/lnwallet/commitment.go
@@ -235,6 +235,16 @@ func HtlcSigHashType(chanType channeldb.ChannelType) txscript.SigHashType {
 	return txscript.SigHashAll
 }
 
+// HtlcSecondLevelInputSequence dictates the sequence number we must use on the
+// input to a second level HTLC transaction.
+func HtlcSecondLevelInputSequence(chanType channeldb.ChannelType) uint32 {
+	if chanType.HasAnchors() {
+		return 1
+	}
+
+	return 0
+}
+
 // CommitWeight returns the base commitment weight before adding HTLCs.
 func CommitWeight(chanType channeldb.ChannelType) int64 {
 	// If this commitment has anchors, it will be slightly heavier.
diff --git a/lnwallet/transactions.go b/lnwallet/transactions.go
index c8f14a967..3c37cd8da 100644
--- a/lnwallet/transactions.go
+++ b/lnwallet/transactions.go
@@ -54,10 +54,13 @@ func createHtlcSuccessTx(chanType channeldb.ChannelType,
 	successTx := wire.NewMsgTx(2)
 
 	// The input to the transaction is the outpoint that creates the
-	// original HTLC on the sender's commitment transaction.
-	successTx.AddTxIn(&wire.TxIn{
+	// original HTLC on the sender's commitment transaction. Set the
+	// sequence number based on the channel type.
+	txin := &wire.TxIn{
 		PreviousOutPoint: htlcOutput,
-	})
+		Sequence:         HtlcSecondLevelInputSequence(chanType),
+	}
+	successTx.AddTxIn(txin)
 
 	// Next, we'll generate the script used as the output for all second
 	// level HTLC which forces a covenant w.r.t what can be done with all
@@ -110,10 +113,13 @@ func createHtlcTimeoutTx(chanType channeldb.ChannelType,
 	timeoutTx.LockTime = cltvExpiry
 
 	// The input to the transaction is the outpoint that creates the
-	// original HTLC on the sender's commitment transaction.
-	timeoutTx.AddTxIn(&wire.TxIn{
+	// original HTLC on the sender's commitment transaction. Set the
+	// sequence number based on the channel type.
+	txin := &wire.TxIn{
 		PreviousOutPoint: htlcOutput,
-	})
+		Sequence:         HtlcSecondLevelInputSequence(chanType),
+	}
+	timeoutTx.AddTxIn(txin)
 
 	// Next, we'll generate the script used as the output for all second
 	// level HTLC which forces a covenant w.r.t what can be done with all