Folders was one of the major new features introduced in iOS 4 for iPhone and iPod Touch users and iPad users will be finally getting the much needed feature in iOS 4.2, which will be released in November.

When Apple introduced the feature at the iPhone OS 4.0 special event, I had felt that it had pretty much nailed it.

So it is amazing to see how the jailbreak community keeps coming up with tweaks to make it even better.

Last month, we had reviewed a jailbreak app called Infinifolders that removed the annoying limitation of only 12 iPhone apps per folder and allowed users to add unlimited iOS apps to a folder.

Japanese developer Ashikase has recently published a video of a new jailbreak app called FolderEnhancer, which as the name implies will bring some cool features to the Folders feature to make it even better.

Here is a list of features:

• Open folders faster and full screen
• Supports icon pages
• It enables subfolders
• It works with Iconoclasm to offer custom icon layouts inside a folder
• It extends MultiIconMover allowing you to move multiple icons at once from a folder

Checkout the impressive demo video of the jailbreak app:

You will need a jailbroken iPhone to install FolderEnhancer. It is expected to be released on the Cydia App Store shortly. I’ll let you know as soon as it is available.

What do you think about FolderEnhancer? Let us know in the comments.