Arrow Lag & Lines

I believe my GPU is going bad. I am seeing lines disort my vision on the monitor. I also notice more freaquently that the arrow of my mouse lags behind where I want it to be and sometimes stops for a full second or two. Is this a rendering problem? Am I right is my GPU failing? Heat is okay and drivers are updated. Thanks
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More about arrow lines
  1. You left your GPU out of your post and in your configuration. What GPU are you using and on what OS?
  2. Sorry,
    I need to update my Signature. Its a EVGA GTX 295 CO-OP and I run Windows 7 64 home Premium. I also thought that what I have shouldn't matter because the symptoms could decide the cause.

    This i say because today at work I witnessed another computer doing the same thing. It had Windows XP Pro with a Intel 8***** Express Chipset Family onboard GPU.
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