Windows 7 - Stereo Mix sounds like a mic

Help! When I try to record something with FRAPS, or Bandicam, or Camtasia, my system sound sounds as if I'm recording sound, that's coming from speakers, with a microphone. I don't use speakers though, earphones, and my general sound is fine, even when I record, BUT the files made have this sound problem.

I have an on-board sound card as I haven't had enough money for a good sound card, and apart from this recording problem, my on-board seems to be fine.

I doubt this will make much of a difference but just in case, my specs are:
Intel Core i5-2300 2.80GHz (Quad Core)
8GB of DDR3 RAM
Gigabyte GeForce GTX 560

Please reply as soon as possible.
Thanks.

-Tom

Not much one can really do. Its all depended on hardware.

Okay, so there's NOTHING I can do?

Hey, problem solved! I've fixed it by downloading a different driver.

I'll mark this as solved now.

I feel like saying thanks, yet you weren't actually very helpful. :/