You and a friend are going to have lunch together. She asks if you've heard of a restaurant called "Pedro's Cafe". The name reminds you of something, but you don't remember what kind of restaurant it is, and you can't remember if you've eaten there. You say:
It sounds vaguely familiar.
You can use the phrase "That sounds vaguely familiar" when someone mentions something that you've heard of, but don't know much about.
The word "familiar" describes things that you know about or have experienced.
"Vaguely" means "a little bit" or "kind of". Some other phrases that use "vaguely" include:
be vaguely aware of (something)
(something) seems vaguely threatening
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