Hazel does NOT ignore subfolders

Hi there. As the title suggests, Hazel does not ignore subfolders.I've got multiple rules running that are sorting files in my Downloads folder into subfolders of the "kind"-type. So I end up with folders like "PDF documents", "JPEG image", "Document" etc. inside Downloads.
Now every time Hazel gets activated, Files get moved into another subfolder inside the subfolder. So instead of having my files in "\Downloads\PDF document\somepdf.pdf, I get "\Downloads\PDF document\PDF document\somepdf.pdf". Sometimes even "\Downloads\PDF document\PDF document\PDF document\PDF document\somepdf.pdf

I do not have the rule "Run rules on folder contents" anywhere.

See screenshot of one of my rules.

What am I doing wrong?

Thanks for any help
Jack

-- Hazel 6.03
-- Macbook Air M3 with macOS 15.1.1

I think what is happening is that the folder itself is matching one of your rules and getting filed into a subfolder. You need to make sure that those folders do not match any of those rules. Please go through the troubleshooting guide here to debug: https://www.noodlesoft.com/kb/hazel-tro ... ing-guide/