Pseudohallucinations have remained a contentious phenomenon in clinical psychopathology. Here following a review of the history and current conceptualisation on pesudohallucinations, they have been critically reviewed with regards to their defining characteristics especially their quality, location and patient’s insight into them. It is argued that the insight and location criterion are not able to distinguish pseudohallucinations from hallucinations. The quality of the perception is a better guide in this distinction.