Yes, this can be done and there are a couple of ways to do it. So that we can provide the best advice, how did you check your email at your previous host, POP3 or IMAP? The reason that I ask is that POP3 automatically pulls all the emails down from the server onto your local computer and you create and manage your folders within Mac Mail right on your computer. However, if you used IMAP, emails would be kept on the server and folders created and managed on the server.
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