PHP will save files to one folder but not another

I am making a phonegap app that includes uploading to a linux server running the LAMP stack.

I have a file called upload.php which contains the following code:

<?php
header('Access-Control-Allow-Origin: *');

$new_image_name = urldecode($_FILES["file"]["name"]).".jpg";

move_uploaded_file($_FILES["file"]["tmp_name"], "uploads/".$new_image_name);
?>


and inside /var/www/html/ I have a folder called uploads with 777 permissions just for testing purposes. This code works perfectly and saves the files in /var/www/html/uploads/. I then created another folder called images within the html folder and it also has 777 permissions but the file will refuse to save in this folder when I run this version of upload.php:

<?php
header('Access-Control-Allow-Origin: *');

$new_image_name = urldecode($_FILES["file"]["name"]).".jpg";

move_uploaded_file($_FILES["file"]["tmp_name"], "images/".$new_image_name);
?>


It may be worth noting that I can also save to directories inside /var/www/html/uploads/ such as /var/www/html/uploads/images/

/var/www/

/var/www/html/

/var/www/html/uploads/

.htaccess

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