diff --git a/go.mod b/go.mod
index cebf6eca..05029cf7 100644
--- a/go.mod
+++ b/go.mod
@@ -18,7 +18,7 @@ require (
 	github.com/decred/dcrd/txscript/v2 v2.1.0
 	github.com/decred/dcrd/wire v1.3.0
 	github.com/decred/dcrdata/txhelpers v1.1.0
-	github.com/decred/dcrwallet/errors v1.1.0 // indirect
+	github.com/decred/dcrwallet/errors v1.1.0
 	github.com/decred/dcrwallet/errors/v2 v2.0.0
 	github.com/decred/dcrwallet/p2p/v2 v2.0.0
 	github.com/decred/dcrwallet/rpc/client/dcrd v1.0.0
diff --git a/multiwallet.go b/multiwallet.go
index f0313da3..758beb59 100644
--- a/multiwallet.go
+++ b/multiwallet.go
@@ -33,6 +33,7 @@ type MultiWallet struct {
 	syncData    *syncData
 
 	txAndBlockNotificationListeners map[string]TxAndBlockNotificationListener
+	blocksRescanProgressListener    BlocksRescanProgressListener
 
 	shuttingDown chan bool
 	cancelFuncs  []context.CancelFunc
@@ -109,6 +110,7 @@ func (mw *MultiWallet) Shutdown() {
 	// Trigger shuttingDown signal to cancel all contexts created with `shutdownContextWithCancel`.
 	mw.shuttingDown <- true
 
+	mw.CancelRescan()
 	mw.CancelSync()
 
 	for _, wallet := range mw.wallets {
diff --git a/rescan.go b/rescan.go
new file mode 100644
index 00000000..a0d07ddf
--- /dev/null
+++ b/rescan.go
@@ -0,0 +1,130 @@
+package dcrlibwallet
+
+import (
+	"context"
+	"math"
+	"time"
+
+	"github.com/decred/dcrwallet/errors"
+	w "github.com/decred/dcrwallet/wallet/v3"
+)
+
+func (mw *MultiWallet) RescanBlocks(walletID int) error {
+
+	wallet := mw.WalletWithID(walletID)
+	if wallet == nil {
+		return errors.E(ErrNotExist)
+	}
+
+	netBackend, err := wallet.internal.NetworkBackend()
+	if err != nil {
+		return errors.E(ErrNotConnected)
+	}
+
+	if mw.IsRescanning() || !mw.IsSynced() {
+		return errors.E(ErrInvalid)
+	}
+
+	go func() {
+		defer func() {
+			mw.syncData.mu.Lock()
+			mw.syncData.rescanning = false
+			mw.syncData.cancelRescan = nil
+			mw.syncData.mu.Unlock()
+		}()
+
+		mw.syncData.mu.Lock()
+		mw.syncData.rescanning = true
+
+		ctx, cancel := wallet.shutdownContextWithCancel()
+		mw.syncData.cancelRescan = cancel
+
+		mw.syncData.mu.Unlock()
+
+		if mw.blocksRescanProgressListener != nil {
+			mw.blocksRescanProgressListener.OnBlocksRescanStarted(walletID)
+		}
+
+		progress := make(chan w.RescanProgress, 1)
+		go wallet.internal.RescanProgressFromHeight(ctx, netBackend, 0, progress)
+
+		rescanStartTime := time.Now().Unix()
+
+		for p := range progress {
+			if p.Err != nil {
+				log.Error(p.Err)
+				if mw.blocksRescanProgressListener != nil {
+					mw.blocksRescanProgressListener.OnBlocksRescanEnded(walletID, p.Err)
+				}
+				return
+			}
+
+			rescanProgressReport := &HeadersRescanProgressReport{
+				CurrentRescanHeight: p.ScannedThrough,
+				TotalHeadersToScan:  wallet.GetBestBlock(),
+				WalletID:            walletID,
+			}
+
+			elapsedRescanTime := time.Now().Unix() - rescanStartTime
+			rescanRate := float64(p.ScannedThrough) / float64(rescanProgressReport.TotalHeadersToScan)
+
+			rescanProgressReport.RescanProgress = int32(math.Round(rescanRate * 100))
+			estimatedTotalRescanTime := int64(math.Round(float64(elapsedRescanTime) / rescanRate))
+			rescanProgressReport.RescanTimeRemaining = estimatedTotalRescanTime - elapsedRescanTime
+
+			rescanProgressReport.GeneralSyncProgress = &GeneralSyncProgress{
+				TotalSyncProgress:         rescanProgressReport.RescanProgress,
+				TotalTimeRemainingSeconds: rescanProgressReport.RescanTimeRemaining,
+			}
+
+			if mw.blocksRescanProgressListener != nil {
+				mw.blocksRescanProgressListener.OnBlocksRescanProgress(rescanProgressReport)
+			}
+
+			select {
+			case <-ctx.Done():
+				log.Info("Rescan canceled through context")
+
+				if mw.blocksRescanProgressListener != nil {
+					if ctx.Err() != nil && ctx.Err() != context.Canceled {
+						mw.blocksRescanProgressListener.OnBlocksRescanEnded(walletID, ctx.Err())
+					} else {
+						mw.blocksRescanProgressListener.OnBlocksRescanEnded(walletID, nil)
+					}
+				}
+
+				return
+			default:
+				continue
+			}
+		}
+
+		err := wallet.reindexTransactions()
+		if mw.blocksRescanProgressListener != nil {
+			mw.blocksRescanProgressListener.OnBlocksRescanEnded(walletID, err)
+		}
+	}()
+
+	return nil
+}
+
+func (mw *MultiWallet) CancelRescan() {
+	mw.syncData.mu.Lock()
+	defer mw.syncData.mu.Unlock()
+	if mw.syncData.cancelRescan != nil {
+		mw.syncData.cancelRescan()
+		mw.syncData.cancelRescan = nil
+
+		log.Info("Rescan canceled.")
+	}
+}
+
+func (mw *MultiWallet) IsRescanning() bool {
+	mw.syncData.mu.RLock()
+	defer mw.syncData.mu.RUnlock()
+	return mw.syncData.rescanning
+}
+
+func (mw *MultiWallet) SetBlocksRescanProgressListener(blocksRescanProgressListener BlocksRescanProgressListener) {
+	mw.blocksRescanProgressListener = blocksRescanProgressListener
+}
diff --git a/sync.go b/sync.go
index 748232fa..a05efac2 100644
--- a/sync.go
+++ b/sync.go
@@ -2,11 +2,9 @@ package dcrlibwallet
 
 import (
 	"context"
-	"math"
 	"net"
 	"strings"
 	"sync"
-	"time"
 
 	"github.com/decred/dcrd/addrmgr"
 	"github.com/decred/dcrwallet/errors/v2"
@@ -25,6 +23,7 @@ type syncData struct {
 	synced       bool
 	syncing      bool
 	cancelSync   context.CancelFunc
+	cancelRescan context.CancelFunc
 	syncCanceled chan bool
 
 	// Flag to notify syncCanceled callback if the sync was canceled so as to be restarted.
@@ -307,70 +306,6 @@ func (mw *MultiWallet) ConnectedPeers() int32 {
 	return mw.syncData.connectedPeers
 }
 
-func (wallet *Wallet) RescanBlocks() error {
-	netBackend, err := wallet.internal.NetworkBackend()
-	if err != nil {
-		return errors.E(ErrNotConnected)
-	}
-
-	if wallet.rescanning {
-		return errors.E(ErrInvalid)
-	}
-
-	go func() {
-		defer func() {
-			wallet.rescanning = false
-		}()
-
-		wallet.rescanning = true
-		ctx := wallet.shutdownContext()
-
-		progress := make(chan w.RescanProgress, 1)
-		go wallet.internal.RescanProgressFromHeight(ctx, netBackend, 0, progress)
-
-		rescanStartTime := time.Now().Unix()
-
-		for p := range progress {
-			if p.Err != nil {
-				log.Error(p.Err)
-				return
-			}
-
-			rescanProgressReport := &HeadersRescanProgressReport{
-				CurrentRescanHeight: p.ScannedThrough,
-				TotalHeadersToScan:  wallet.GetBestBlock(),
-			}
-
-			elapsedRescanTime := time.Now().Unix() - rescanStartTime
-			rescanRate := float64(p.ScannedThrough) / float64(rescanProgressReport.TotalHeadersToScan)
-
-			rescanProgressReport.RescanProgress = int32(math.Round(rescanRate * 100))
-			estimatedTotalRescanTime := int64(math.Round(float64(elapsedRescanTime) / rescanRate))
-			rescanProgressReport.RescanTimeRemaining = estimatedTotalRescanTime - elapsedRescanTime
-
-			select {
-			case <-ctx.Done():
-				log.Info("Rescan cancelled through context")
-				return
-			default:
-				continue
-			}
-		}
-
-		// Trigger sync completed callback.
-		// todo: probably best to have a dedicated rescan listener
-		// with callbacks for rescanStarted, rescanCompleted, rescanError and rescanCancel
-	}()
-
-	return nil
-}
-
-func (mw *MultiWallet) IsScanning() bool {
-	mw.syncData.mu.RLock()
-	defer mw.syncData.mu.RUnlock()
-	return mw.syncData.rescanning
-}
-
 func (mw *MultiWallet) GetBestBlock() *BlockInfo {
 	var bestBlock int32 = -1
 	var blockInfo *BlockInfo
diff --git a/txindex.go b/txindex.go
index 40d9f92d..086243dc 100644
--- a/txindex.go
+++ b/txindex.go
@@ -78,3 +78,12 @@ func (wallet *Wallet) IndexTransactions() error {
 	log.Debugf("[%d] Indexing transactions start height: %d, end height: %d", wallet.ID, beginHeight, endHeight)
 	return wallet.internal.GetTransactions(ctx, rangeFn, startBlock, endBlock)
 }
+
+func (wallet *Wallet) reindexTransactions() error {
+	err := wallet.txDB.ClearSavedTransactions(&Transaction{})
+	if err != nil {
+		return err
+	}
+
+	return wallet.IndexTransactions()
+}
diff --git a/txindex/save.go b/txindex/save.go
index 0ffab039..c2dd2330 100644
--- a/txindex/save.go
+++ b/txindex/save.go
@@ -40,3 +40,12 @@ func (db *DB) SaveLastIndexPoint(endBlockHeight int32) error {
 	}
 	return nil
 }
+
+func (db *DB) ClearSavedTransactions(emptyTxPointer interface{}) error {
+	err := db.txDB.Drop(emptyTxPointer)
+	if err != nil {
+		return err
+	}
+
+	return db.SaveLastIndexPoint(0)
+}
diff --git a/types.go b/types.go
index d4a4b5ba..496586ba 100644
--- a/types.go
+++ b/types.go
@@ -117,6 +117,12 @@ type TxAndBlockNotificationListener interface {
 	OnTransactionConfirmed(walletID int, hash string, blockHeight int32)
 }
 
+type BlocksRescanProgressListener interface {
+	OnBlocksRescanStarted(walletID int)
+	OnBlocksRescanProgress(*HeadersRescanProgressReport)
+	OnBlocksRescanEnded(walletID int, err error)
+}
+
 // Transaction is used with storm for tx indexing operations.
 // For faster queries, the `Hash`, `Type` and `Direction` fields are indexed.
 type Transaction struct {
diff --git a/wallet.go b/wallet.go
index 6fda6e67..484af448 100644
--- a/wallet.go
+++ b/wallet.go
@@ -29,10 +29,9 @@ type Wallet struct {
 	loader      *loader.Loader
 	txDB        *txindex.DB
 
-	synced     bool
-	syncing    bool
-	waiting    bool
-	rescanning bool
+	synced  bool
+	syncing bool
+	waiting bool
 
 	shuttingDown chan bool
 	cancelFuncs  []context.CancelFunc