Bluetooth stuck at initializing

Hi,

Bluetooth used to work fine in my car. A couple of days ago, all it says is 'Bluetooth Initializing'.

It never comes out of this stage. Rest of the stereo works fine, except for Phone and Bluetooth Media (as expected).

Any ideas where to start looking? Since there is no actual error, I doubt it shows up in fault list?

I disconnected and re-connected the Bluetooth module, but that didn't change anything.

If you need a working module I just pulled mine. Replaced the head unit with built in Bluetooth.

Hate to revive an old thread but just had this problem on my car. It's been happening for the past few days.
I use an iPhone 7 plus with Bluetooth connection in my GTI for over 2 years with no issues. Then suddenly after a Skype call (or at least that's what I thought I did last)...the phone just would not connect.
I tried all the basic stuff like deleting it from. My phone and repair it. Hard reset my phone. Factory reset on the cars entertainment system.
I even unplugged and replugged the Bluetooth module under the front passenger seat. That did not help either.

It would always try to connect to the phone and then say "Phone initializing" and then go back to the radio. It would loop this continously.

What did end up working was using my wife's phone to pair with car, and that worked...so i thought it was my iPhone. But since the car can only remember 3 phones. It told me to overwrite an existing connection. I deleted my iPhone record. Then paired my phone again and voila! It finally worked!

Thought I'd share this in case others run into the same problem with their Bluetooth module.