I've never seen this before and I've used Photoshop for years. I'm using the latest version under Windows 10.
My issue is with Save Dialogues. The dialogue always appears like this, in a collapsed state. The dialogue can be restored by using the Browse Folders option (lower left) but I have to do this every time I save a file, its a complete pain in the ***. File open dialogues are fine.
Any one know how to get around this?