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2) MemTest tells me "Memory error detected...", what does this mean?
This is not normal. Your RAM is bad, or your system is incorrectly configured. Even just 1 error means that you have a problem. If you have overclocked your machine, or selected aggressive RAM timings in your BIOS you should try more conservative settings before judging the ram fully bad. If you can't get MemTest to run without errors even with conservative BIOS settings, your RAM is bad. Replace it, or you will experience stability and corruption problems. Correctly functioning RAM has no errors, even if you run MemTest overnight.
Suggestions on what to do? Change bios setting? RMA?