# Understanding LLM Hallucinations: Why AI Lies and How to fix it.

> Source: <https://dev.to/sangam_shrestha_07/understanding-llm-hallucinations-why-ai-lies-and-how-to-fix-it-bm7>
> Published: 2026-08-13 07:35:37+00:00

AI writes code, builds apps, and answers complex questions in seconds. But it has a dark side: it lies to your face with absolute confidence.

In tech, these believable fabrications are called hallucinations.

**Why Does AI Make Things Up?**

LLMs do not actually "know" facts. They operate on probability:

▪︎ Advanced Autocomplete: AI predicts the next most likely word, not factual truth.

▪︎ **Statistical Guesswork**: If data is missing, the model invents a plausible answer.

▪︎ **Optimized to Please**: AI prefers a confident lie over admitting "I don't know."

**The Real-World Risks**

▪︎ **Security Vulnerabilities**: AI can invent non-existent software packages, opening doors to malicious exploits.

▪︎ **Ruined Credibility**: Shipping broken code or publishing false data destroys user trust instantly.

**How to Fix Your Workflow**

You don't need to stop using AI—you just need to secure it:

▪︎ **Ground the AI**: Provide specific source documentation and restrict the model from answering outside of it.

▪︎ **Lower the Temperature**: Drop your API temperature parameter toward 0 to kill unwanted creativity.

▪︎ **Human-in-the-Loop**: Treat AI outputs as an unverified draft. Never push to production without a human review.