<p>Although extensive research has examined the impact of COVID-19 on mental health, few studies have explored memory biases in recalling past anxiety and risk perception, or their influence on post-epidemic psychological outcomes. This study aimed to examine false memories related to people’s recollection of anxiety and risk perception during the Shanghai epidemic, the factors influencing these memories, and their effects on post-epidemic anxiety. A total of 236 participants (49.6% from Shanghai, 71.6% female, and <i>M</i>_<i>age</i> = 24.81 ± 5.39) reported their actual and recalled anxiety and risk perception during (T1) and after (T2) the Shanghai epidemic in 2022 and their adherence to quarantine regulations and place attachment to Shanghai at T2. Participants overestimated their recollection of anxiety, while those outside Shanghai also overestimated their recollection of risk perception and likelihood of infection but underestimated the epidemic’s severity. Both adherence to quarantine regulations and place attachment played various moderating roles in the associations between T1 actual and T2 recalled anxiety/risk perception. T2 recalled anxiety mediated the associations between T1 anxiety and T2 post-epidemic anxiety and between T1 perceived uncontrollability and T2 post-epidemic anxiety. This study fills the gap in understanding how individuals reconstruct their emotional and cognitive experiences during a public health crisis and how these memories shape post-epidemic mental health. The findings provide insights into psychological interventions aimed at mitigating long-term distress following such crises.</p>