Unable to mount directory

The permissions of /dev/fuse are for root and fuse only. Add yourself to the "fuse" group.
Try:

"sudo usermod -a -G fuse your_username"

If it doesn't work try this:

"chmod a+rw /dev/fuse" (Note that this is a security risk if you aren't the only person accesing the computer)

Tell me if it worked.

I tried "sudo usermod -a -G fuse your_username" and got the same error message.

When I go to Applications -> System -> Users and groups -> Manage groups and then check the properties for the "fuse" group there are two users listed: Myself and root, but only the checkbox in front of my username is checked, the checkbox in front of root is not. Should it be?

What error message did you get? The command doesn't give any error message similar to the ones in your first post...

Also try the "chmod a+rw /dev/fuse" command (if you've got only trusted users on your computer).

After "sudo usermod -a -G fuse your_username" and running encfs again I got the same error message as the first time I ran encfs.

If "chmod a+rw /dev/fuse" is a security risk (in any way) I'm weary of going that way since my purpose of using encfs is to increase security.

Should root be in the fuse group?

No, it doesn't have to be in the fuse group.

My guess is fusermount is not suid, do this: "sudo chmod 4755 /usr/bin/fusermount". There is always a security risk in having files suid root but if you want to use the program you'll have to take them.