How does context influence individuals’ misinformation about socially marginalized groups? Scholarship has long found that one’s geographical and social environment are important determinants for one’s political attitudes. But how these contexts shape individuals’ levels of misinformation about stigmatized groups remains an open and pressing question, especially given the swift rise of misinformation in recent years. Using three original surveys, we find that individuals who report more contact with a diverse group of individuals were significantly less likely to be misinformed. These findings are particularly pronounced among white Americans. Moreover, contrary to the popular belief that where one lives is a strong determinant of racial attitudes, we also find that partisan and racial context did not meaningfully shape misinformation. These findings shed light on the factors that helps us to understand the misinformation that exists about this sizable share of U.S. society.