[BUG] Token limit drained in seconds due to repeated image processing error retries

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?

Date/Time: 2026-05-19 17:41–17:45 KST (08:41–08:45 UTC)
Session ID: c1ce8c64-1082-43d9-bc8f-f22f32deef00

What happened:
Sent one message with an image attachment.
Claude Code repeatedly threw "API Error: an image in the conversation
could not be processed and was removed" 4 times within ~3 seconds,
then immediately hit the usage limit.

Expected: Single error message, no retry loop.
Actual: Internal retry loop consumed 100% of usage limit in seconds.

Impact: Entire usage allowance consumed by a single failed image
processing attempt with no additional user input.

What Should Happen?

Claude Code should show one error message when image processing fails
and stop. It should NOT retry in a loop that consumes the entire
usage limit within seconds.

Error Messages/Logs

API Error: an image in the conversation could not be processed and was removed.
(repeated 4 times in ~3 seconds)
You've hit your limit · resets 10:40pm (Asia/Seoul)

Steps to Reproduce

1. Open Claude Code
2. Send a message with an image attachment
3. If the image fails to process, observe Claude Code retrying automatically
4. Usage limit hits 100% within seconds due to retry loop

Claude Model

Sonnet (default)

Is this a regression?

No, this never worked

Last Working Version

_No response_

Claude Code Version

VS Code Extension (version unknown)

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

VS Code integrated terminal

Additional Information

This is a billing issue — the usage limit was fully consumed in seconds
by an internal retry loop, not by actual user work.
A refund or usage credit restoration is requested.
Account: dobrokwon84@gmail.com