Good morning...
We use Lotus Notes (8.5), and have very few video issues. We have two machines that exhibit the same problems you have. On of them is running a 3d Labs Wildcat card, and the other is running ATI graphics. Most of our machines are running nVidia Quadro FX 1400, and have shown no issues when updated to the current driver (or in most of our cases the driver 6.14.11.8267 - 5/12/2009). We are also using WinXP 32 sp3, and all our machines are 3GB.
What version of notes are you running? Have you updated your Java to the most current version (Lotus uses Java extensively). Have you also played with the display settings (System Properties => Advanced tab => Visual performance settings button)?
HTH,
Ryan A Wunderlich
Royal Caribbean Cruises Ltd.
Ryan A Wunderlich