Your problem is that your card is artifcating. This means that it is overheating as previous people have stated. Download Coolbits. Run the registry fix. Restart your computer. Open up your nVidia manager. And then place your card to 500/1000. Or 500/500 I forget if nVidia Doubles the RAM (1 time up 1 time Down. I'll check when I get back.) After this try it out, and see if you still artifact. Also, read the temp read out you get from the manager. Post up the measurement, while Underload.
As you've said already you've underclocked. There are 2 other things I can think of. The heatsink is not making proper contact with the chip, OR a transistor if overheating. Set it back down to vanilla factory settings, 500/1000. If that doesn't work, see if taking off the cover of your case helps, and maybe directing a fan towards the gfx card.
Also, eww mending+healbreeze
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