I used have my term-term-name set to vt1000 and my bashrc set to xterm this worked fine except that colored output did not work.
Then i set the term-term-name to screen and my .basrc to screen that make the coloring work but if i type a message thats longer than the line it does not move to the next line but goes to the beginning of the same line.
Which emulation should i use to make both lines and color work? This is happening on OS X when on linux(debian) it works.