When I make a call, all my receive video comes in all chopped up. My outgoing vid is fine, and the cam works on other vid apps like yahoo messenger and facebook, etc. Im running skype 5.5 on win7 64 bit, and my webcam is a MS Lifecam Studio HD.
Your issue is fairly commen and involves an nVidia display adapter and driver version 285.62. See this post for suggestion that should help:
BTW, I suggest you update to Skype v220.127.116.11. You can download the full installer via this link: http://www.skype.com/go/getskype-full