Version: (using KDE KDE 3.2.2) Installed from: RedHat RPMs If you open the dialog and type, the newly-typed characters are used as a search mask to highlight the first file matched in the file list. Really handy. Except, in 3.2.2 the first character entered doesn't always highlight the first match. I tried to find a pattern to this behaviour but there doesn't appear to be one. Often the 2nd match is highlighted, but other times one further along in the list. The file list is sorted case-insensitive, if that matters.
This is still the behaviour in 3.3.2. In addition, is appears that the directory is not re-read between saves, so a new file (in that session, presumably) is not recognized in subsequent matches.
Moving from "kio/kfile" component to "kfile" product, helps sorting out duplicates.
Works for me in KDE Frameworks 5.45.