Bug: Extension Fails for Subscription Users if `ANTHROPIC_API_KEY` is set

[coygeek]

App Version

3.25.17

API Provider

Not Applicable / Other

Model Used

Claude Code

Roo Code Task Links (Optional)

Title: Bug: Extension Fails for Subscription Users if ANTHROPIC_API_KEY is set

Description

When the extension is correctly configured to use Claude Code as the API Provider, it fails if an ANTHROPIC_API_KEY environment variable is present in the user's shell environment.

This leads to a confusing Credit balance is too low error for users with Claude Max/Pro subscriptions. They have correctly set up the extension to use their local CLI (to leverage their flat-rate subscription), but an old, lingering API key from a separate pay-as-you-go account intercepts the authentication and causes the failure.

This makes the extension seem broken even when the user has configured it perfectly according to its own settings.

Steps to Reproduce

1. Have an active Claude Max or Pro subscription.

2. Install the claude code CLI and log in successfully using your subscription account (/login).

3. In your shell profile (e.g., ~/.zshrc), set an ANTHROPIC_API_KEY environment variable from a separate, pay-as-you-go Console account that has a zero-dollar balance.

4. Load the environment variable in your shell (source ~/.zshrc).

5. In the Cline/Roo Code extension settings, set the API Provider to Claude Code and ensure the Claude Code CLI Path points to your local installation.

6. Attempt to run any command through the extension's UI.

Expected Behavior

Since the API Provider is set to Claude Code, the extension should successfully use the CLI's active subscription-based login (claudeai method). It should either ignore the ANTHROPIC_API_KEY environment variable or warn the user about the potential conflict.

Actual Behavior

The extension's background call to the claude code CLI prioritizes the ANTHROPIC_API_KEY environment variable. This results in an API call using the old, unfunded account, which is immediately rejected.

The user sees the error: Command failed with exit code 1: ... Credit balance is too low.

Root Cause Analysis

The claude code CLI has different authentication pathways for interactive use versus non-interactive/SDK use (which the extension uses via the -p flag). The non-interactive mode defaults to using the ANTHROPIC_API_KEY if it is set, bypassing the user's interactive subscription login. This makes the extension's "API Provider" setting fail silently.

Workaround / Solution

The issue was successfully resolved by performing the following step:

1. Removing the Environment Variable: Manually removing the export ANTHROPIC_API_KEY="..." line from the user's shell profile (~/.zshrc).

Proposed Solutions for the Extension

This issue creates a very poor user experience for legitimate subscription customers. The extension could help mitigate this significantly:

1. High Priority - Detection and Warning: On startup, the extension should check process.env.ANTHROPIC_API_KEY. If the key is set and the API Provider is set to Claude Code, the extension must show a prominent VS Code warning notification. The warning should state: "An ANTHROPIC_API_KEY environment variable was detected. This may conflict with your subscription login and cause errors. Please unset it to ensure your Claude Max/Pro plan is used."
2. Documentation: Add a section to the README specifically for Claude Max/Pro users, instructing them to ensure ANTHROPIC_API_KEY is not set in their environment.

Thank you for the excellent tool. Addressing this conflict will greatly improve the experience for subscription users.

🔁 Steps to Reproduce

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💥 Outcome Summary

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📄 Relevant Logs or Errors (Optional)

[roomote]

Hi! I'm here to help out the maintainers and am going to see if I can fix this issue.

The problem you've described is clear: when users have Claude Max/Pro subscriptions and correctly configure the extension to use Claude Code, the presence of an ANTHROPIC_API_KEY environment variable causes authentication conflicts, resulting in misleading error messages.

I'll work on implementing the detection and warning system you've proposed to help prevent this confusion for subscription users. Thanks for the detailed bug report and analysis!

[roomote]

I've successfully implemented a fix for this issue! 🎉

The solution adds a warning notification when the extension detects an ANTHROPIC_API_KEY environment variable while using the Claude Code API provider. This will help prevent the confusion you experienced.

What the fix does:

• Detects the presence of ANTHROPIC_API_KEY when ClaudeCodeHandler is initialized
• Shows a clear warning message explaining the conflict
• Provides a "Learn More" button that links to the Claude Code authentication documentation
• Only shows the warning once per session to avoid being annoying

Pull Request: #7197
#7197

The PR includes comprehensive tests and all CI checks are currently running. Once merged, this should prevent other Claude Max/Pro subscription users from encountering the same confusing error.

Thank you for the detailed bug report and analysis - it made implementing the fix much easier!

[daniel-lxs]

Hey @coygeek, thanks for reporting this. This behavior is actually coming from the Claude Code CLI itself - when an ANTHROPIC_API_KEY is set, it will take precedence even if you’re logged in with a subscription. We can definitely add a note to our documentation to make this clearer for subscription users. In the meantime, please double-check your local environment settings and remove any lingering API keys to avoid conflicts.