[BUG] VS Code extension: all models fail "may not exist" but terminal works fine

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

Account: lukeliu.2004@gmail.com
Plan: Pro
Claude Code version: 2.1.87
OS: Windows

Issue:

• claude auth status shows loggedIn: true, subscriptionType: pro
• Terminal: claude "hello" works fine
• VS Code extension: ALL models (Sonnet 4.6, Opus 4.6, Haiku 4.5) return

"There's an issue with the selected model" error

• Tried: logout/login, clear ~/.claude, reinstall extension, reinstall CLI
• Nothing works in VS Code extension only

What Should Happen?

Claude Code for VS Code 正常使用

Error Messages/Logs

There's an issue with the selected model (claude-sonnet-4-6). It may not exist or you may not have access to it. Run --model to pick a different model.

Steps to Reproduce

Account: lukeliu.2004@gmail.com
Plan: Pro
Claude Code version: 2.1.87
OS: Windows

Issue:

• claude auth status shows loggedIn: true, subscriptionType: pro
• Terminal: claude "hello" works fine
• VS Code extension: ALL models (Sonnet 4.6, Opus 4.6, Haiku 4.5) return

"There's an issue with the selected model" error

• Tried: logout/login, clear ~/.claude, reinstall extension, reinstall CLI
• Nothing works in VS Code extension only

Claude Model

Sonnet (default)

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.1.87

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

_No response_