Introduction
Xbox One, Xbox One S, and Xbox One X appear to cache textures and meshes more often during modded play than at other times. Sometimes, the PS4 will do this with vanilla textures as well. The build-up of these files can corrupt over time and cause gameplay issues and lag.
Clearing the cache or rebuilding the console storage database is part of good console maintenance.
So when should you do it?
New Game
When preparing your console for a new game.
Uninstalling a Game
After uninstalling a game you no longer wish to play.
Troubleshooting
If the console seems laggy or there are connectivity issues.
After installing mods with large texture files.
While playing with mods with large texture files.
Maintenance
As part of normal maintenance of your PS4 and PS5.
As part of normal maintenance of your Xbox.
Further Reading
What is the cache and how do I clear it?
Survive Load Order Disorder by learning what the cache is for consoles.
How to troubleshoot Safe Mode issues
Learn how to resolve issues when trying to access Safe Mode on your PlayStation®5 console or PlayStation®4 console.
Xbox Support