For tiny fonts I use center only or no underlay. Column, no outline is good or fill, no outline is good. I also change density from default 4.0 to something like 3.5 or 3.0. I test stich then decide if I need to keep changing it. I did a test stich of a font that was 0.20 inches tall and had to go to 2.5. I also use a thinner needle for the tiny fonts. Your old methods and preferences will come back to you :-)
Thank you so much, I will give this a try when I get back home today. I forgot to change the density!!
I use a density of 4.3 for lettering as I find the default 4.0 too dense. When using 30 wt thread i go to 5 or 5.5.
For tiny lettering a 60 wt thread (and thinner needle) would be better but here it is hard to come by.
I think this is a very recent development. Floriani has come out with 60 weight threads in some? all? of their regular weight threads' numbers. Can order through RNK; Don't know price.