Thanks for creating this thread, I had the same issue!
FYI – We had both the login & registration short codes in a modal pop-up window that was loaded on every single page including the Password reset, even though visually the login & registration were hidden they were still loading causing the password reset to fail.
TIPS: Make sure that the PW reset is the only shortcode from this plugin on the page and it should work mint!
Cheers,
Cory