This problem appears to be fixed as part of Windows 10 KB4580364 Preview. The changelog for that KB includes this:
· Addresses an issue with virtual private network (VPN) connections that use Secured Password (EAP-MSCHAP v2) for authentication and have enabled the “Automatically use my Windows logon user name and password” property. When you connect to this type of VPN, an authentication dialog box incorrectly prompts for your credentials.
https://support.microsoft.com/en-us/help/4580364/windows-10-update-kb4580364