$ emacs filename with special German chars gives me strange transliteration

[Jens-Olaf Lindermann]

Hi NG (and sorry for my English),

reading through the tutorial, the manpages, the specific pages of Stallmans
manual I still have two minor problems with my GNU Emacs 21.4.1 (emacs-nox)
running on my Debian Etch.

Problem 1: When I will start emacs with a new file, whose name contains some
German chars like ä, ö or so, strange encoding-signs appear constantly in
the echo(command)-buffer below though I have no problems opening such a
filename with C-x C-f. Same happens if I will open something
like /Aufsätze. 

Problem 2: utf-8 will seems to be ignored sometimes. If I write an email
with mutt with chars like ß ö ä, then encoding is utf-8. Without such chars
it is always 7bit us-ascii.

There is clearly some difficulty with the encoding, but I do not know, what
else I should change. Here my (small) ~/.emacs

(custom-set-variables
  ;; custom-set-variables was added by Custom -- don't edit or cut/paste it!
  ;; Your init file should contain only one such instance.
 '(current-language-environment "UTF-8")
 '(fill-column 72)
 '(case-fold-search t)
 '(keyboard-coding-system (quote utf-8))
 '(latin1-display t nil (latin1-disp)))
(custom-set-faces
  ;; custom-set-faces was added by Custom -- don't edit or cut/paste it!
  ;; Your init file should contain only one such instance.
 )
(setq-default auto-fill-function 'do-auto-fill)
(prefer-coding-system 'utf-8)


Hope you can help me.
Jens

-- 
Debian GNU/Linux 4.0 stable