Hi Martyhelp,
Actually, the details you gave us really helped. I'm also able to see the issue now, and I believe it's a bug in our system. Strangely enough, it only happens the 2nd or 3rd time, after I've already created a new folder using the exacts steps you provided. I didn't see the issue the first time.
Your workaround is a great temporary solution. However, we will definitely be fixing this bug on our side as well.
Thank you for reporting this issue. We wouldn't have discovered it without your help. The next time you run into issue, please do post again and we will assist in any way.
Thanks again!