Continuing here, since the anonuncement is closed and the issue is discussed here with its history:
Did you check you configuration in all possible places?!
User settings
Workspace settings?
Here is a gif of how i would search for the specific setting in the different scopes and reset it to default:
Since there are many ways to configure the extension, i can only point to the settings doc article for further investigation.
https://code.visualstudio.com/docs/getstarted/settings
It show possible paths where settings might be stored and hot to fully rest user settings.
Anyway i think it would be good to give an indicator on which scope(s) a deprecated setting is modified in one of the next extension versions.
I will prepare and contribute this extended logging.