Confused about Margin level

Making sure, the higher the margin level percentage (%) then the healthier my account right?
And, I also understand that it’s bad to have my equity = my used margin.
So, in the “What is Margin Level” lesson, Babypips said that if you have zero used margin, then your margin level is ZERO. So is that bad? I thought if you don’t have used margin then it’s good as you have more free margin.

Could someone please make this a bit clearer for me? Thanks in advance.