I don't think that's very true. Before a few centuries ago, travel was expensive. Most people rarely strayed far from their birthplace, making them likely to interact with the same group over their lifetime. If they did something embarrassing or stupid, stories would percolate indefinitely. It cost too much to move somewhere else and start a new life.
What's worse is that back then people had difficulty discovering rumors about themselves. At least today, we can do vanity searches.