This is a CSS/theme issue, unfortunately. Some folks like it the way it is. If you want more padding above headings, you should use a theme that has that, or add a custom snippet for it.
FYI this has been asked before. If you didn’t find anything when you searched, it might have been due to wording — the term in the app is “folded” (“collapsed” is a reasonable word, it just isn’t used in the app or help docs).