hi alex
video cards dont fail.. its the drivers/software that fail thus making the card not work when in windows .... basically drivers are the middle man between the hardware and the operating system .. without the drivers your geforce 8400gs simply appears as a basic vga adapter which is no good to man or beast
and since your card will start fine in safe mode ( safe mode runs windows without drivers .. so this is how i came to the driver issue )... this shows the problem is driver related and not hardware... i would bet that if you installed windows 7 or xp the geforce 8400gs would work fine
so a solution... well this could be hard .. since the release of windows 8 i have had many headaches installing older graphic cards from nvidia and ati (amd ) ... and this is due to the way windows 8 has been developed ( and coded ) .... for example when windows 7 was released and you couldnt locate a windows 7 driver you could 99% of the time use a windows vista driver and install it from the device manager using driver update... this worked due to the way windows 7 was created which wasnt too different from vista ... thus most vista drivers would work in 7
you could try a beta driver or the driver disk that came with your card.. however the vertical lines isnt a good sign and i experience the same issue with a radeon HD4850 many years ago.... and i did manage a certain degree of stability by lowering the memory clock speed ... however it was never the same
i suppose your lucky in the fact that the geforce 8400gs is not the most expensive card and can be replaced for under £30..... however if you do end up replacing the card then i would recommend a more up to date card such as the "ARIANET Radeon HD 6670 2048MB GDDR3 PCI-Express Graphics Card "( http://www.aria.co.uk/Products/Components/Graphics+Cards+-+GPUs/Graphics+Cards+-+AMD/Radeon+HD+6670/ARIANET+Radeon+HD+6670+2048MB+GDDR3+PCI-Express+Graphics+Card+?productId=50957 ) which at just £47 is around twice as powerful as the geforce 8400gs and has 2gb of memory and a 800mhz core clock
however the main consideration when i recommended this card is its "windows 8" support and this will work with your pc without any problems
you could buy another geforce 8400gs however i wouldnt since its dated and has no windows 8 support ( you can get windows 8 drivers,however the HD6670 i recommended has full 8 support and will also run the latest games at medium detail settings )
finally it may also be worth trying another monitor cable ... a split or damage to the monitor vga cable can cause visual corruption and a new dvi or vga cable costs under £5 .. worth checking out
i hope this helps alex... any questions let me know
good luck mate !