Backup files created in home directory instead of .claude/backups/

Description:

Claude Code is creating .claude.json.backup.* files in the user's home directory instead of using the existing .claude/backups/ directory.

Expected Behavior:

• Backup files should be automatically saved to C:\Users\[username]\.claude\backups\
• The backups directory already exists and appears to be intended for this purpose

Actual Behavior:

• Backup files are created as C:\Users\[username]\.claude.json.backup.[timestamp]
• These files accumulate in the home directory during normal operations
• Multiple backup files are generated throughout a session

Steps to Reproduce:

1. Use Claude Code normally (run queries, execute tools, etc.)
2. Check home directory: C:\Users\[username]\
3. Observe multiple .claude.json.backup.* files created

Impact:

• Home directory becomes cluttered with backup files
• No configuration option exists to control backup location
• Users must manually move files to keep directory clean

Environment:

• Platform: Windows 11 Pro (10.0.26200)
• Claude Code CLI
• Home directory: C:\Users\[username]\

Suggested Fix:

• Use .claude/backups/ directory for all backup files
• Add configuration option in settings.json if custom backup location is needed

Example Files Generated:

.claude.json.backup.1773149307856
.claude.json.backup.1773149307867
.claude.json.backup.1773149316633
.claude.json.backup.1773149360404