What protocol ar you using? FTP or SFTP? Can you attach a session log file showing file download/upload to/from the editor?

You possibly need to change option Force text transfer mode for files edited in external editor in extenal editor preferences:
https://winscp.net/eng/docs/ui_editor_preferences

I am running v5.1.4, Windows 7 Pro, using Notepad2 for the text editor.

Since the last version and a switch to Windows 7, I have had problems editing and saving files. I open the file from WinSCP, do an edit and save in Notepad2. When I reopen the file from WinSCp the code is now one long line all spacing and formatting is gone. This generally this crashes the site. Not all files do this, but I can tell when one will, because when I open it from WinSCP the code is double spaced instead of single space.

WinSCP seems to work fine with uploading files, but I love editing and saving directly in the WinSCP.

I am not tech savy about this, so if anyone has a solution I will need simple terms and guidance. Thanks in advance for any help.