Specifically, I don't want vscode to remember my cursor position or code folding in files that I've closed out of. I've looked all throughout the settings and can't seem to find it.
The functionality you are looking for was added in v.1.28.0. See release notes: do not restore state.
VS Code has always remembered the view state (cursor location, folded sections, etc.) of a file even after the file was closed. There is now a new setting
workbench.editor.restoreViewStateto drop this view state when a file is closed. This allows you to always start at the top of the file after reopening it.
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