Stuck in Xbox Series X Error Loop: "Could not create folder" (Support & Bug Report no help so far)

Hey everyone,

I am completely stuck and running out of options here. I contacted Gaijin Support about a severe error loop on my Xbox Series X (the one with the new CPU and internal components), and they just told me to submit a bug report. I did that, but I haven’t received a single reply yet. I also tried asking on Reddit, but nobody could really help me there either. So now I’m turning to the official forums hoping someone here has a solution or a workaround.

The Problem:
Almost every single action I take in the hangar or menus triggers this pop-up:
“Error while saving settings: Could not create folder”
Because of this, the game is completely unable to download, view, or preview any custom vehicle skins or decals. The “Failed” download counter just ticks up endlessly so i cant even see my own skins i payed for.

My settings and keybinds were completely frozen:
Any changes I tried to make to my game settings or controller layout did not save (it just resetted it to the last save, before the bug occurred). I even tried creating a brand new in-game control preset save slot, but the file completely vanished right after creation.

Today/Yesterdays update seems to have fixed the issue with the Control Presets. i can finally save my controls as an Preset in game.

Things I’ve already tested:
It’s not a network/Wi-Fi issue. My internet is completely stable and wired.

Restarting the game or console changes nothing; the error pops up immediately upon launch.

(I have a screenshot showing the loop and the failing downloads ready if someone needs them).


My big question before I reinstall:
It seems like the local cache/reserved space folder structure on my Series X is completely corrupted, and a clean reinstall is the only fix. However, my controller keybinds took me hours to perfect. Since I am on console, I cannot “Export to file” like PC players do.

If I completely delete the game from my Xbox , will my original custom settings and Keybinds restore automatically from the Gaijin cloud servers, or am I going to lose absolutely everything because the local folders are currently corrupted? Will the Control Presets still be there after the reinstall?

Has anyone on Xbox (Series S/X or One) dealt with this exact error loop before? Any advice would be highly appreciated.

Thank you!