Well for the audio, yes I think it could be a ground loop as well. Before you start ripping out wires, and rerouting them, go to your nearest radioshack, and buy a ground loop isolator. Try it, if it works, you know what the problem is. If it still sounds ok to you, then keep it. If you dont like the new sound, then return it. Radioshack is a 30day no questions asked return policy. So good for this sort of thing. And dont worry about the morality. I used to work for them, you have nothing to feel bad about, I promise.
As for the video, are the lines wavy as in you can see the image underneath the wave, as it moves up and down, or are they black wavy lines with no visible image under them?
I think you have option 1, but I want to make sure. If option 1, then it too is a power problem. Either a) you are powering your screen off of unregulated 12v intentionally or unintentionally or b) power cable too close to your vga cable.
for (a), if you are using your egg that came with it, it could be fried and passing unregulated voltage. check that with a multimeter. If that checks out, then your only option is to re-route the vga cable. They make video isolators (like the radioshack ones, but for video instead of audio) but they are pricy, when a simple re-route will fix. No place I know of can you buy one and return it later.
And it is possible to get a clear image on your screen. I have seen it in many people's cars. I myself use the unregulated voltage to my screen because it was cheap, and is already broken (no 800x600), so when it dies, I get a new one, yippee!

But it has been going strong for a year now unregulated, but I get the wavy lines, and the happy thoughts of knowing it may just burn out and die at any second. It is brighter though

.