diff --git a/PowerEditor/src/Parameters.cpp b/PowerEditor/src/Parameters.cpp
index 180ed37b9..6deac4634 100644
--- a/PowerEditor/src/Parameters.cpp
+++ b/PowerEditor/src/Parameters.cpp
@@ -5743,6 +5743,12 @@ void NppParameters::feedGUIParameters(TiXmlNode *node)
 				lstrcpyn(_nppGUI._defaultDir, path, MAX_PATH);
 				::ExpandEnvironmentStrings(_nppGUI._defaultDir, _nppGUI._defaultDirExp, MAX_PATH);
 			}
+
+			const TCHAR* path2 = element->Attribute(TEXT("lastUsedDirPath"));
+			if (path2 && path2[0])
+			{
+				lstrcpyn(_nppGUI._lastUsedDir, path2, MAX_PATH);
+			}
  		}
 
 		else if (!lstrcmp(nm, TEXT("titleBar")))
@@ -7171,6 +7177,7 @@ void NppParameters::createXmlTreeFromGUIParams()
 		GUIConfigElement->SetAttribute(TEXT("name"), TEXT("openSaveDir"));
 		GUIConfigElement->SetAttribute(TEXT("value"), _nppGUI._openSaveDir);
 		GUIConfigElement->SetAttribute(TEXT("defaultDirPath"), _nppGUI._defaultDir);
+		GUIConfigElement->SetAttribute(TEXT("lastUsedDirPath"), _nppGUI._lastUsedDir);
 	}
 
 	// <GUIConfig name="titleBar" short="no" />
diff --git a/PowerEditor/src/Parameters.h b/PowerEditor/src/Parameters.h
index e85252594..9964613a5 100644
--- a/PowerEditor/src/Parameters.h
+++ b/PowerEditor/src/Parameters.h
@@ -758,6 +758,7 @@ struct NppGUI final
 
 		_defaultDir[0] = 0;
 		_defaultDirExp[0] = 0;
+		_lastUsedDir[0] = 0;
 	}
 
 	toolBarStatusType _toolBarStatus = TB_STANDARD;
@@ -887,6 +888,8 @@ struct NppGUI final
 
 	TCHAR _defaultDir[MAX_PATH];
 	TCHAR _defaultDirExp[MAX_PATH];	//expanded environment variables
+	TCHAR _lastUsedDir[MAX_PATH];
+	
 	generic_string _themeName;
 	MultiInstSetting _multiInstSetting = monoInst;
 	bool _clipboardHistoryPanelKeepState = false;
diff --git a/PowerEditor/src/WinControls/OpenSaveFileDialog/CustomFileDialog.cpp b/PowerEditor/src/WinControls/OpenSaveFileDialog/CustomFileDialog.cpp
index efca3a650..3d142ed98 100644
--- a/PowerEditor/src/WinControls/OpenSaveFileDialog/CustomFileDialog.cpp
+++ b/PowerEditor/src/WinControls/OpenSaveFileDialog/CustomFileDialog.cpp
@@ -876,10 +876,12 @@ public:
 			okPressed = SUCCEEDED(hr);
 
 			NppParameters& params = NppParameters::getInstance();
-			if (okPressed && params.getNppGUI()._openSaveDir == dir_last)
+			NppGUI& nppGUI = params.getNppGUI();
+			if (okPressed && nppGUI._openSaveDir == dir_last)
 			{
 				// Note: IFileDialog doesn't modify the current directory.
 				// At least, after it is hidden, the current directory is the same as before it was shown.
+				lstrcpyn(nppGUI._lastUsedDir, _events->getLastUsedFolder().c_str(), MAX_PATH);
 				params.setWorkingDir(_events->getLastUsedFolder().c_str());
 			}
 		}
@@ -986,7 +988,8 @@ CustomFileDialog::CustomFileDialog(HWND hwnd) : _impl{ std::make_unique<Impl>()
 	_impl->_hwndOwner = hwnd;
 
 	NppParameters& params = NppParameters::getInstance();
-	const TCHAR* workDir = params.getWorkingDir();
+	NppGUI& nppGUI = params.getNppGUI();
+	const TCHAR* workDir = nppGUI._openSaveDir == dir_last ? nppGUI._lastUsedDir : params.getWorkingDir();
 	if (workDir)
 		_impl->_fallbackFolder = workDir;
 }