Windows 7 - Folder navigation, restore to xp style?

Hello everybody

I'm new to the forum and I would like to seek everyone's help.

In Windows xp, when you're in a folder, you simple type a letter and the system will jump to the first file/sub-folder beginning with that letter, starting with sub-folders first.

But now in 7, typing a letter takes me to a search window at the upper left corner and the folder gives me a view of all the sub-folders/files beginning with that letter.

I found this to be extremely irritating, because in xp this function will show sub-folders first and I use this function knowing full well that it will immediately take me to the sub-folder I wanted. Now with this new behaviour I can't.

Is there some way to go back to the xp behaviour?

Thank you all in advance.

Folder Options > View > "When typing into list view" > "Select the typed item in the view"
That is the default, if that is not selected then someone changed it.

Thanks a lot!