A short tip for Windows XP users who have migrated to Windows 7 or Windows 8, the local settings folder has been moved. If you are trying to access the Local Settings folder at the following destination:
C:\Users\<User Name>\Local Settings
then you are looking at the wrong place. You will get the following error message, “Location is not available” or “Access Is Denied”.

This post has been updated to explain how to find Local Settings Folder in Windows 8. It was last updated on March 26, 2012.
In Windows 7 and Windows 8 the Local Settings is a junction point, i.e, a hidden and protected OS system file that is not meant to be accessed by the users. Instead it points to a user-accessible folder at the following destination:
C:\Users\<user name>\AppData\Local
If you are trying to find some files saved in Local Folder, make sure you are looking in the right place.
Update: As the reader points out below, the quickest way to access the Local Folders in Windows 7 and Windows 8 is to type %localappdata% in Windows Explorer and hit Enter. Thanks Wander!
