Our memory is prone to distortions which in everyday life can lead to mistaken memories. This thesis investigates memory distortion. In addition, one might recall (e.g. an event) correctly but misremember the source of the event (e.g. place or time of the event); this particular type of memory distortion is called source amnesia. Here, an overview of cognitive theories of memory distortion as well as the neuroscience behind memory distortion is provided. In addition, the particular memory distortion of source amnesia where one is unable to acquire when or where a fact was learned is further investigated. Results indicate that an overlap of qualities related to the information being learned causes information to be linked to wrong sources, thus creating distorted memories. Misinformation is also indicated to produce impairment in memory. In memory distortions, memory impairments are representative in various areas of the brain, including the hippocampus and the amygdala in the medial temporal lobes as well as in the frontal cortex and in the visual cortex. These key areas are also closely related to brain aging in Alzheimer´s disease and in schizophrenia, depression, posttraumatic stress disorder (PTSD) and in drug and alcohol abuse. Individuals inflicted with these disease symptoms seem to be more prone to source amnesia compared to controls. The limitations and future directions of what we can study regarding memory distortion and source amnesia are also presented in this thesis.