# Reducing Hallucinations in LLMs via Factuality-Aware Preference Learning

arXiv: https://arxiv.org/abs/2601.03027 · HTML: https://mlsanity.com/paper/2601.03027/

## Key facts

- Cited by 2 papers in the map (data through 14 Oct 2026).
- Placed in Diffusion and multimodal model alignment, one of 10 directions in LLM alignment / RLHF / preference optimisation.
- Builds on 15 of its 33 references that are in the map.
- First posted on arXiv 6 Jan 2026.

## Placed in

- LLM alignment / RLHF / preference optimisation / [Diffusion and multimodal model alignment](https://mlsanity.com/alignment/diffusion-and-multimodal-model-alignment/)

## Builds on (most cited first, 15 of 15)

- [Training language models to follow instructions with human feedback](https://mlsanity.com/paper/2203.02155/) (2022)
- [Judging LLM-as-a-Judge with MT-Bench and Chatbot Arena](https://mlsanity.com/paper/2306.05685/) (2023)
- [Direct Preference Optimization: Your Language Model is Secretly a Reward Model](https://mlsanity.com/paper/2305.18290/) (2023)
- [Deep reinforcement learning from human preferences](https://mlsanity.com/paper/1706.03741/) (2017)
- [Constitutional AI: Harmlessness from AI Feedback](https://mlsanity.com/paper/2212.08073/) (2022)
- [TruthfulQA: Measuring How Models Mimic Human Falsehoods](https://mlsanity.com/paper/2109.07958/) (2021)
- [Inference-Time Intervention: Eliciting Truthful Answers from a Language Model](https://mlsanity.com/paper/2306.03341/) (2023)
- [A General Theoretical Paradigm to Understand Learning from Human Preferences](https://mlsanity.com/paper/2310.12036/) (2023)
- [Skywork-Reward: Bag of Tricks for Reward Modeling in LLMs](https://mlsanity.com/paper/2410.18451/) (2024)
- [Fine-tuning Language Models for Factuality](https://mlsanity.com/paper/2311.08401/) (2023)
- [Self-Alignment for Factuality: Mitigating Hallucinations in LLMs via Self-Evaluation](https://mlsanity.com/paper/2402.09267/) (2024)
- [SafeDPO: A Simple Approach to Direct Preference Optimization with Enhanced Safety](https://mlsanity.com/paper/2505.20065/) (2025)
- [On Diversified Preferences of Large Language Model Alignment](https://mlsanity.com/paper/2312.07401/) (2023)
- [Mask-DPO: Generalizable Fine-grained Factuality Alignment of LLMs](https://mlsanity.com/paper/2503.02846/) (2025)
- [VLDBench Evaluating Multimodal Disinformation with Regulatory Alignment](https://mlsanity.com/paper/2502.11361/) (2025)

## Built on by (most cited first, 2 of 2)

- [Hallucinations Live in Variance](https://mlsanity.com/paper/2601.07058/) (2026)
- [Supervised Fine-Tuning Needs to Unlock the Potential of Token Priority](https://mlsanity.com/paper/2602.01227/) (2026)

## Abstract (arXiv)

Preference alignment methods such as RLHF and Direct Preference Optimization (DPO) improve instruction following, but they can also reinforce hallucinations when preference judgments reward fluency and confidence over factual correctness. We introduce F-DPO (Factuality-aware Direct Preference Optimization), a simple extension of DPO that uses only binary factuality labels. F-DPO (i) applies a label-flipping transformation that corrects misordered preference pairs so the chosen response is never less factual than the rejected one, and (ii) adds a factuality-aware margin that emphasizes pairs with clear correctness differences, while reducing to standard DPO when both responses share the same factuality. We construct factuality-aware preference data by augmenting DPO pairs with binary factuality indicators and synthetic hallucinated variants. Across seven open-weight LLMs (1B-14B), F-DPO consistently improves factuality and reduces hallucination rates relative to both base models and standard DPO. On Qwen3-8B, F-DPO reduces hallucination rates by 5x(from 0.424 to 0.084) while improving factuality scores by 50% (from 5.26 to 7.90). F-DPO also generalizes to out-of-distribution benchmarks: on TruthfulQA, Qwen2.5-14B achieves +17% MC1 accuracy (0.500 to 0.585) and +49% MC2 accuracy (0.357 to 0.531). F-DPO requires no auxiliary reward model, token-level annotations, or multi-stage training.