Sounds like artifacts. If they didn't go away after the driver update, you may have a defective card there. Try and RMA it, if it's still under warranty.
Its been only a week since i had bought it so its still covered under warranty. I had previously owned a Nvidia Geforce 210. Had uninstalled all of the previous drivers using windows uninstaller as well as using driver sweeper. So the possibility of software/driver intrusion can be ruled out right?