Random BLANK textedit file generated -- '%A1%B1%A1%AF'

I'm a rails developer seeking a fix to an annoying problem. Recently, I've been noticing some random textedit file being generated in wherever directory I was working. The file looks like this. Click this Image

After spending some time, I was able to find out that the file was generated every time I opened up Terminal. Even after I delete that random file, it gets regenerated if I open the Terminal app.

It says that the file is a TextEdit document, with 0 bytes of size. When I open the file, there's no text.

It is so annoying because it gets tracked by git, and I have to delete it every time I am committing/pushing my work.