ATI Graphic Glitch - Weird Lines on Desktop

http://img.photobucket.com/albums/v674/pervnerve/wtf.jpg

My old card did this shortly before it melted, so, learning from my experience, I immediately underclocked this puppy with ATITool 0.25 about 20 clicks. It reduced, but did not eliminate the lines. I'd rather not have to sacrifice speed if there's some other solution. After all, I've had this computer for 2 years, and have only encountered this twice in the past few months (first time with this rig; old card was in another machine when it melted). This is a new card, too (I RMA'd the melted one with ATI). Keep in mind that I was able to take a screenshot of it, which means Windows sees it. Does anyone have any idea what might be causing this? Moreover: how to fix it without underclocking?

 

probably a driver issue. or incorrect underclock settings.

 

How should I correct my incorrect underclocking settings (if they are)? My current drivers are the latest: Catalyst 5.12.

Here's a screenshot of my underclocking settings.

 

You shouldnt underclock to achieve normal settings, you seem to have either an overheating issue or bad memory onboard the video card.

 

I'd try removing card blowing slot out and reseating the card. My wife's 9600 did that when the card was just a hair out of place