Aha, I see my problem. Bad syntax, it was the echo command that was printing all the directories, not the RM command.

dir=/c/Users/afabris/Desktop/testfolder/*
echo Cleaning $dir;

That prints a list of the directories inside testfolder. Not sure why "dir" isn't just a string there, apparently that's an aspect of Bash that I didn't understand before.
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Tony Fabris