I have a nice pile of 8" square flannel diaper wipes I bought to use as nose wipes. I love them, they are so soft and gentle. Since they are small, when you have a nasty cold, you are not carrying around a big hankie, as they are more of a one use thing (and then wash).
But how to store them. I have them folded in half and in a pile, but I need some sort of container to hold the pile and then hold the dirty ones. It would be great if the dirties could be a little out of view.
Right now they pile up until they get thrown in the bedroom or kitchen hampers.
I have all of my "hankies" (mostly cut up tshirts and receiving blankets) in a basket on the counter. I don't bother folding them because we are constantly grabbing from it. I then throw then in the pail with the family cloth. If I didn't do family cloth I think a good place would be a old icecream container or small trash can or the like under the sink or in the laundry room (if it is in a close location)
Hope that helps : )
SouleMama had sewn these very cute and useful bags for handkerchiefs:
This looks like a very good option, as the bags take a minimal amount of place -- just a hanger inside a closet.