Can iTunes Update My Music Folders?

[TheSultan]

Hey folks! Hopefully someone can help me here, I'm going NUTS!
I've updated things in my iTunes, and then went to look in the folder and found those updates were not transferred there as well.
For example:
The Grateful Dead
Grateful Dead
I made everything as "The Grateful Dead", but when I go look in my iTunes folder, there is still two different folders.

[Galley]

Do you have "Keep library organized" checked in the options?

[TheSultan]

Yes, I've always had it checked to organize itself, that's why I was surprised when it didn't