Hello, this is Emily.
There are actually two separate issues here.
I will address the last one first regarding Word, Excel, etc saving documents by default to OneDrive. I know you have already uninstalled OneDrive, but here is the thing. Microsoft 365 apps connect to OneDrive cloud directly whether you have a desktop OneDrive app or not. By default, the save location is directly to the OneDrive cloud. If you want to change this default save location, go to Word, File > Optins > Save. Uncheck the box "AutoSave files stored in the cloud by default in word". Then check "Save to computer by default" and then define the local file location.
Do that for Excel, Powerpoint, etc as well.
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Ok, moving on to address the shell folder location issue. Please type regedit in the search on the taskbar to launch registry editor, and go to this path, then take a screenshot and share in your reply.
Computer\HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\User Shell Folders