I don't have the problem, presumably because the following appears in /etc/bash.bashrc:
# Commented out, don't overwrite xterm -T "title" -n "icontitle" by default.
# If this is an xterm set the title to user@host:dir
#case "$TERM" in
#xterm*|rxvt*)
# PROMPT_COMMAND='echo -ne "\033]0;${USER}@${HOSTNAME}: ${PWD}\007"'
# ;;
#*)
# ;;
#esac
Perhaps something similar would take care of the OP's problem.
Patrick