Suspected video card issue - BSOD + worse


I'm having nightmareish problems with my PC currently and I don't know what to do. Here's my situation: A few weeks ago my screen would go black. Everywhere I moved my cursor, the screen would be more black until it was a completely black screen with a white cursor. My computer wouldn't freeze up or anything, I could still hear my music through my speakers. This seemed to happen when I would full-screen a youtube video or fullscreen a video in the video-editing program sony vegas. I would restart and things would return to normal for a while.

At this time I was able to start my computer in safe mode and the crashes wouldn't happen, even when I ran youtube/sony vegas... So I concluded the issue was with my video card drivers (Graphics card: is ATI Radeon™ HD 4800) I updated my video drivers and played around with my screen resolution and thought that'd fix the issue, but the issue kept persisting.

I didn't know what else to try so I figured it wouldn't hurt just to reinstall windows 7 and start fresh. Mistake. I reinstalled successfully but now I can't get into windows. Startup gets to "loading windows..." then I get this bluescreen and my computer restarts,

And now I can't start in safemode because when I do so it forces me to restart saying I need to first install windows.

I'm so lost and frustrated. Help greatly appreciated. I can provide more info on request. Thanks,

- Ben
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