Bug AI features completely broken ECONNRESET stuck on local proxy 127.0.0.1 port 10809

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

I was actively using Cursor when suddenly all AI features stopped working. The Network Diagnostics tool shows that Cursor is desperately trying to connect through a local proxy 127.0.0.1 port 10809 which is leading to an ECONNRESET error. The problem occurred completely randomly. I occasionally use a proxy client which defaults to port 10809 but the issue persists even when the client is completely closed or switched to TUN mode. Cursor seems to have cached this proxy setting somewhere deep and I cannot force it to use a direct connection.

Steps to Reproduce

Completely close the proxy client

Disable proxy in Windows System Settings

Check Cursor UI Settings Http Proxy in both User and Workspace tabs they are empty

Check the raw settings.json file no proxy configurations exist

Check Windows Environment Variables HTTP PROXY are not set

Switch the proxy client to TUN mode to bypass local proxy ports entirely

Kill all background Cursor processes via Task Manager and restart

Expected Behavior

Cursor should ignore the inactive proxy port 10809 and connect directly to the internet to allow AI features to work normally

Screenshots / Screen Recordings

Operating System

Windows 10/11

Version Information

Latest version

For AI issues: which model did you use?

All models

For AI issues: add Request ID with privacy disabled

Cannot provide because all requests instantly fail with ECONNRESET

Additional Information

Diagnostic Logs show SSL Error Failed to establish a socket connection to proxies PROXY 127.0.0.1 port 10809 and Chat Error aborted read ECONNRESET. Is there a hidden cache folder or a specific Chromium flag inside Cursor that I need to flush to make it forget this 10809 port

Does this stop you from using Cursor

Yes - Cursor is unusable

Hey, thanks for the report.

The screenshot confirms that SSL is breaking because Cursor (Chromium under the hood) is still trying to use PROXY 127.0.0.1:10809 even though the proxy client is closed. This usually happens because Chromium inherits proxy settings from Windows, and Windows can keep them in the registry even after you turn them off in the UI.

A few things to try:

  1. Launch Cursor with the --no-proxy-server flag

Fully close Cursor, then run this from Command Prompt:

"C:\Users\<YourUser>\AppData\Local\Programs\cursor\Cursor.exe" --no-proxy-server

This forces Chromium to bypass all proxy settings. If it works this way, the issue is definitely a stuck proxy configuration.

  1. Check the Windows registry

Open regedit and go to:

HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings

Check these values:

  • ProxyEnable should be 0
  • ProxyServer should be empty or not exist
  • AutoConfigURL should be empty (a PAC file here can redirect traffic to 127.0.0.1:10809)

If anything points to 127.0.0.1:10809, clear or delete it, then reboot your PC.

  1. Try HTTP/1.1 mode

In Cursor Settings > Network, set HTTP Compatibility Mode to HTTP/1.1. This won’t directly fix the proxy issue, but it can help the connection succeed.

  1. Fully reset Cursor cached state

If nothing helped, close Cursor and delete these folders:

  • %APPDATA%\Cursor
  • %LOCALAPPDATA%\cursor-updater

Then restart Cursor and sign in again.

Let me know which step helped, or if none of them did.

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