People who lie during their interview or on their CV can get stressed out because it may lead to complications during the hiring process. They may also keep worrying about the interviewer finding out. It's always good to be honest, although perhaps you should wait until you're asked before volunteering certain information. Here are a couple of lies you should refrain from telling:
Why, yes! I do kind of live here
If you've used a different address on your CV to tailor it to where the job is based, don't lie about it when it comes up in the interview. If your potential employer asks you where you live, tell them where you currently live, but let them know that you're willing to move for the job. The problem with this lie is you may have several rounds of interviews and you'll have to keep travelling back and forth for them. If they think you live in the city, they'll probably give you short notice for interviews and those last-minute flights or trains can be really expensive.
I make so much more than my real salary
If your interviewer asks you how much you made at your last job, you may think it's a white lie to fudge the numbers a little. However, some employers ask for a copy of your P60, so you may want to be cautious about giving a fake amount because it can be construed as unethical. If you don't want to cough up your previous salary, let it be known that you don't think it has any bearing on this new job and cite the typical industry number. If you're pushed to give your previous income, tell them you won't consider an offer below £XX. This is a grey area that many have different opinions on — some like Bargaineering founder Jim Wang don't think that there's anything wrong with a little inflation, while others vehemently disagree.
That's totally my grade
If you think that inflating your grade will get you the job, you may want to reconsider. Some companies request a copy of your transcript or verification with the school, especially those with job positions that require a minimum grade.
No, I didn't get fired at my last job
Given the economy, there are plenty of people that have been laid off so don't be afraid to let the interviewer know. Try not to go into the details, especially if you harbour resentment, and let them know what happened and what you learned from the experience.
Remember, the general rule of thumb is to be honest during your interview. It's different for everyone, but if you get asked uncomfortable questions, there's always a polite way of refusing to answer.