I would love to assist in any way I can since I also have the same phone as you, DHAR8. I haven't had the opportunity to set up a custom folder just yet so we can do this together.
If you go to the email and select the down arrow where you have inbox, sent, etc. Then select More in the upper right it should give the option to create folder. Select where you want to create a new folder and tap it and then name the new folder.
I hope that is helpful.
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Doesn't work for me. Went to Email ICON, Pressed down arrow which took me to Mailbox showing Inbox, Sent, etc. and a blank area for Custom Folders. Pressed the More button and it simply gives Show/Hide folders. No option to create.
Wonder if you had a different display?.
How your account is setup on the phone also determines what types and how folders you can access from your account on the phone. There is POP3, IMAP or Exchange account types. I know I have more folder access with an Exchange type then I would with the POP3 type.
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My Verizon account is POP incoming. It created a problem with my Eudora mail app on my PC. Hate to learn that it has the same impact on my S7.
Sent from my Verizon, Samsung Galaxy smartphone