Prettier throwing error in VScode fresh CRA app installation - visual-studio-code

Question

I installed a fresh install of CRA and also installed eslint and prettier and as well as two packages to make them work smoothly with each other.
Eslint is working and active but prettier is not formatting. I get the following error in the terminal:
Error: Failed to load plugin 'react' declared in 'CLIOptions': The argument 'filename' must be a file URL object, file URL string, or absolute path string. Received ''
Package.json:
{
"name": "test-app",
"version": "0.1.0",
"private": true,
"dependencies": {
"#testing-library/jest-dom": "^5.16.4",
"#testing-library/react": "^13.3.0",
"#testing-library/user-event": "^13.5.0",
"react": "^18.2.0",
"react-dom": "^18.2.0",
"react-scripts": "5.0.1",
"web-vitals": "^2.1.4"
},
"scripts": {
"start": "react-scripts start",
"build": "react-scripts build",
"test": "react-scripts test",
"eject": "react-scripts eject"
},
"eslintConfig": {
"extends": [
"react-app",
"react-app/jest",
"prettier"
]
},
"browserslist": {
"production": [
">0.2%",
"not dead",
"not op_mini all"
],
"development": [
"last 1 chrome version",
"last 1 firefox version",
"last 1 safari version"
]
},
"devDependencies": {
"eslint": "^8.20.0",
"eslint-config-prettier": "^8.5.0",
"eslint-plugin-react": "^7.30.1",
"prettier": "^2.7.1"
}
}