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Unfamiliar Finetuning Examples Control How Language Models Hallucinate

Paper · 2025 · Katie Kang, Eric Wallace, Claire Tomlin et al.

Summary

Kang et al. ask why finetuned LLMs invent facts when queried about things their pretraining never covered, and whether this can be steered. They focus on "unfamiliar" finetuning examples, whose content lies beyond the base model's knowledge. Unfamiliarity is scored by few-shot prompting the pretrained model and grading its answers. The authors hypothesize that the model cannot genuinely fit these examples. Instead, it learns an input-independent "blind guess" that minimizes their combined loss, and it reverts to this guess on unfamiliar test queries.

Controlled experiments on MMLU and TriviaQA with Llama2 7B support the hypothesis across SFT, RL and reward model finetuning. Changing how unfamiliar examples are supervised, for instance pairing them with "I don't know"-style answers, shifts the model's behaviour on unknown inputs.

The authors then target long-form factuality. Reward models also hallucinate by inflating scores for unfamiliar inputs. To counter this, the authors train conservative reward models on responses sampled from the base model itself. RL with these reward models reduces false facts in biography and plot generation, giving a practical lever for more reliable LLMs.

Key points

  • Core finding: on unfamiliar queries, a model's outputs drift toward the response distribution tied to its unfamiliar finetuning examples. This was tested on MMLU and TriviaQA with Llama2 7B, with additional support from Mistral 7B in the appendix.
  • Standard reward models, trained on GPT-3.5 responses, increasingly overestimate rewards as inputs grow less familiar. Conservative reward models, trained on Llama2 7B's own samples, do not show this overestimation.
  • Reward labels come from FActScore, which gives +2 per correct fact and −3 per incorrect fact. FActScore is too slow and costly to supply rewards directly during online RL.
  • The long-form tasks use WikiBios and WikiPlots. Three methods are compared: standard SFT, PPO with a standard reward model, and PPO with a conservative reward model, all based on Llama2 7B.
  • RL with conservative reward models produced substantially fewer false facts than the other methods, with equal or more true facts, at every unfamiliarity level. Stated limitations are that partially familiar queries are not fully characterized and that the experiments cover only task-specific finetuning.

Our summary of the paper, in our own words — not its text. The work belongs to its authors; read it at the links above.

 Institutions

 Fields, topics and concepts

Cite

Cite as Katie Kang, Eric Wallace, Claire Tomlin, Aviral Kumar and Sergey Levine. 2025. Unfamiliar Finetuning Examples Control How Language Models Hallucinate. Proceedings of the 2025 Conference of the Nations of the Americas Chapter of the Association for Computational Linguistics: Human Language Technologies (Volume 1: Long Papers).

The paper itself, not this page. BibTeX from the library's record of the work. DOI 10.18653/v1/2025.naacl-long.183

@inproceedings{kang2025unfamiliar,
  title = {{Unfamiliar Finetuning Examples Control How Language Models Hallucinate}},
  author = {Katie Kang, Eric Wallace, Claire Tomlin, Aviral Kumar and Sergey Levine},
  booktitle = {Proceedings of the 2025 Conference of the Nations of the Americas Chapter of the Association for Computational Linguistics: Human Language Technologies (Volume 1: Long Papers)},
  year = {2025},
  doi = {10.18653/v1/2025.naacl-long.183},
  url = {https://doi.org/10.18653/v1/2025.naacl-long.183}
}

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