I have created a folder D:\Users with the same permissions as the default C:\Users and enabled the "Set user home folder." I have verified that the GPO is applied to the computer on which I am testing.
After logging in for the first time with a domain or local user, a folder does get automatically created in a format of DOMAIN.user but the folder contents are empty and it looks like Windows is using a folder under C:\Users for all the contents that would typically be in a user profile folder like Documents, etc.
What am I missing? Is it likely a permissions issue with D:\Users or am I misunderstanding what "Set user home folder" does?
Edit: Depending on the permissions, I also get "We can't sign in to your account" on login (and it uses a temporary profile) at times. Interestingly this happens even when a folder does get created for the user.
Best Answer
Yes, you're misunderstanding what "Set user home folder" does. It does not redirect the user profile nor does it redirect the default user profile folders (Documents, Downloads, etc.).