GPT-5.5 and Composer Models Broken After Latest Cursor Update

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

Title: GPT-5.5 and Composer Models Broken After Latest Cursor Update

Description

After upgrading Cursor to the latest version, GPT-5.5 stopped working. Requests fail with the following error:

json { “type”: “error”, “error”: { “type”: “insufficient_quota”, “code”: “insufficient_quota”, “message”: “You exceeded your current quota, please check your plan and billing details.” } }

At the same time, Composer models report that an API key is missing.

We are not using BYOK and rely on Cursor-managed models. The issue started immediately after upgrading Cursor and was not present in the previous version.

Expected behavior

  • GPT-5.5 should function normally using Cursor-managed access.
  • Composer models should not require a user-provided API key when BYOK is not enabled.

Actual behavior

  • GPT-5.5 returns an insufficient_quota error.
  • Composer reports that an API key is missing.
  • Multiple model types appear affected after the update.

Additional notes

  • This does not appear to be an OpenAI billing issue because we are not using our own API key.
  • The timing suggests a regression in model routing, entitlement checks, or provider configuration introduced in the latest Cursor release.

Steps to Reproduce

Title: GPT-5.5 and Composer Models Broken After Latest Cursor Update

Description

After upgrading Cursor to the latest version, GPT-5.5 stopped working. Requests fail with the following error:

json { “type”: “error”, “error”: { “type”: “insufficient_quota”, “code”: “insufficient_quota”, “message”: “You exceeded your current quota, please check your plan and billing details.” } }

At the same time, Composer models report that an API key is missing.

We are not using BYOK and rely on Cursor-managed models. The issue started immediately after upgrading Cursor and was not present in the previous version.

Expected behavior

  • GPT-5.5 should function normally using Cursor-managed access.
  • Composer models should not require a user-provided API key when BYOK is not enabled.

Actual behavior

  • GPT-5.5 returns an insufficient_quota error.
  • Composer reports that an API key is missing.
  • Multiple model types appear affected after the update.

Additional notes

  • This does not appear to be an OpenAI billing issue because we are not using our own API key.
  • The timing suggests a regression in model routing, entitlement checks, or provider configuration introduced in the latest Cursor release.

Operating System

MacOS

Version Information

Title: GPT-5.5 and Composer Models Broken After Latest Cursor Update

Description

After upgrading Cursor to the latest version, GPT-5.5 stopped working. Requests fail with the following error:

json { “type”: “error”, “error”: { “type”: “insufficient_quota”, “code”: “insufficient_quota”, “message”: “You exceeded your current quota, please check your plan and billing details.” } }

At the same time, Composer models report that an API key is missing.

We are not using BYOK and rely on Cursor-managed models. The issue started immediately after upgrading Cursor and was not present in the previous version.

Expected behavior

  • GPT-5.5 should function normally using Cursor-managed access.
  • Composer models should not require a user-provided API key when BYOK is not enabled.

Actual behavior

  • GPT-5.5 returns an insufficient_quota error.
  • Composer reports that an API key is missing.
  • Multiple model types appear affected after the update.

Additional notes

  • This does not appear to be an OpenAI billing issue because we are not using our own API key.
  • The timing suggests a regression in model routing, entitlement checks, or provider configuration introduced in the latest Cursor release.

Does this stop you from using Cursor

Sometimes - I can sometimes use Cursor

Hey @zoolyai

I know you mentioned this isn’t a BYOK issue, but it sure sounds like one! Could you have the user who is facing this issue open Cursor Settings > Models > API Keys and see if OpenAI API Key is toggled on?