updating wrong information on itc!

I had a credit card with this bank and settled it last yer in september (2015), i asked for the account to be closed and i recieved a paid up letter. I went to the other bank to apply for a credit card and my application was declined because African bank listed on itc that i owe them R340 last month. I called their customer service and the consultant told me that from his side he can see that the account is paid up and closed. Is this how African Bank is trying to recover their debt? How fair is this? Someone please help...