Hello kd4wat,
Thank you for your reply!
The error "Parameter is Incorrect" is an indication that the drive is in use. I have added some steps below that I hope will correct your issue. Please let me know status.
The "drive is in use" seems to be the key, but the "steps below" are simply reiterating what we've tried that didn't work from the beginning.
I have a laptop with two drives and tried to change the drive letter on a data partition (not the system partition), arriving at this same problem. I did find a solution that worked. I ran msconfig and chose "Selective startup." Under the services tab, I told
it to run the Virtual Disk service, which the logical disk manager needs in order to run. On reboot I was able to change drive letters (probably because no other services or startup programs were loaded, making them unable to lock the drive). After I was done,
I ran msconfig again and changed back to a normal startup.
I was doing this with an internal drive. If this procedure causes a USB drive to be inaccessible during the "selective startup" mode, that would probably mean that some other service needs to be running for the USB drive to function.