API Keys not working on team plan after reaching limits

[gabe_santo_arion (Gabriel Oliveira do Espirito Santo)]

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

I’ve reached the team plan limit, due to that I switched to using API Keys, and seems like there’s a bug that if the limit is reached on the team plan, the API Key is completely ignored, blocking me from using any type of AI model.

Steps to Reproduce

Reach Limit
Put custom API Key
Won’t be able to use any AI Model, even with the API Key provided for that AI Model provider

Expected Behavior

Be able to use on cost AI Models

Operating System

MacOS

Current Cursor Version (Menu → About Cursor → Copy)

Version: 2.2.20 (Universal)
VSCode Version: 1.105.1
Commit: b3573281c4775bfc6bba466bf6563d3d498d1070
Date: 2025-12-12T06:29:26.017Z (8 hrs ago)
Electron: 37.7.0
Chromium: 138.0.7204.251
Node.js: 22.20.0
V8: 13.8.258.32-electron.0
OS: Darwin arm64 25.1.0

For AI issues: which model did you use?

Google Models and Anthropic Models with API Usage

Does this stop you from using Cursor

Yes - Cursor is unusable

[Colin]

Hi @gabe_santo_arion,

Thanks for the report!

Even when using custom API keys, requests still flow through Cursor’s infrastructure for features like context retrieval, indexing, and request handling. This incurs a small amount of usage, so if there’s no credit left on your account (and no on-demand usage available), you will not be able to make requests.

I recommend topping up your on-demand usage a bit to continue using models with BYOK!