New computer - BSOD/Infinite loop issue

[Tifrece]

So I just built my first pc 2 days ago, everything was going fine until I installed the drivers for my HD4850 and tried to play a game, a few minutes into playing the game either closes or my entire system resets. Rarely I will get the BSOD, I've only got it twice(it closes and resets much more often) and both times it mentioned something about ati2dvag.dll getting stuck in an infinte loop.

I've tried googling the problem and it seems to be somewhat common and has been a lasting problem for ATI cards. After hours spent trying out different fixes(such as uninstalling/reinstalling drivers) I'm on my last leg here after I've been messing with this all day/night/morning. Anyone here experience a similar issue? And how did you resolve it?

Specs are:
E8400 @ 3.0GHz
ATI Radeon HD4850
Gigabyte EP45-DS3L
4GB DDR2 Ram
Pc power and cooling 500w Silencer
Windows XP pro


Any help/advice is greatly appreciated.

[Blubbartron]

Were you running the folding@home that comes pre-packaged with the newest drivers? I've seen that application infinite loop BSOD my system before, but that was when I was using my 8800 GTS, before switching to my new HD4850.

Edit: it could also potentially be a heat issue. What kind of temps are you seeing in the CCC? I say this because I may have gotten my BSOD issues due to my 8800 GTS running at nearly 90 C all day long.

[Cephius]

Have you used driver sweeper to get rid of all the graphic drivers? It sounds like something might not be getting removed correctly. Run driver sweeper in safe mode, reinstall, and see if that does the trick.

[Tifrece]

Not a heating issue, CPU cores hover at around 80-90 degrees F idle, 100F on load. GPU is around 100F idle, 110F load. I did install folding@home, I formated the HD last night so I'll do a clean install of the drivers and come back with the results.

[Tifrece]

Updated the drivers after a fresh install of XP after I reformatted my HD, still the problem persists. Could this be a problem with my motherboard or even my OS?