Hey Karthik,
I don't know if you will see this...
But
I am just a fellow user and was tearing my hair off about the same issue.
However
I found a very simple solution and it worked,
First you need to "forget" and "remove device" from both your android and Windows paired bluetooth device list.
Once you have removed,
Turn off your android bluetooth and then go to settings/Tethering and mobile hotspot/turn on " share data connection via bluetooth"
You will notice, as you enable the bluetooth tethering option on your android, bluetooth will turn on, making your phone bluetooth visible,
Now go to windows,
Turn on bluetooth,
Pair pc to phone
Go to action centre
Select " join a personal area network"
Your phone name will show up,
Select your phone,
And this time under "connect using"
" Access point " will show up and the data will be shared.
Hope it helps.
Hii,
I was searching things like "NO access point option under Bluetooth tethering" & "How to connect to bluetooth tethering in Win10" for 4 days and all the solutions were unable to even show me 'ACCESS POINT' under Join PAN option.
Finally today I started to search "Third party apps for bluetooth tethering in windows" and this was also going into vein and then I saw this thread somewhere and I read your comment with NO HOPE at all but thought of giving it a last try.
Viola..!! for the first time in 4 days, I saw 'ACCESS POINT' in place of 'Direct Connection'. Now, I am typing this while being connected to Bluetooth tethering after specially creating an account in Microsoft Answers forum to THANK YOU for taking time and
solving my issue. People like you are gem who find a solution and then share it for those in problem.
So THANK YOU Arundhati Chakraborty for this answer. I don't know if this will work even after disconnecting once or if I will have to connect like this each time, but thanks for giving me hope as I saw 'Access point' for the first time in the dropdown menu.
Good luck.