Mic picking up output sound

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Microphone: Logitech Fatal1ty Gaming Headset. So before going out and murdering everyone I see in rage I decided to post this here and hope for some help. I would think that this was a problem with the mic but since it was working perfectly the night before and nothing has changed points at a random fail on Vistas/soundcard's part.

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I've tried plugging it into different jacks etc. but to make a long story short after many hours I found out that the mic is picking up the sound output from my computer and nothing else. I thought it was just some random problem that could be fixed by unplugging and plugging/restarting etc. When I turned on my computer this morning and proceeded to talk to my friend on Skype. Feel free to move it to a more fitting place.

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Although this is not a Vista problem (I think) I posted it here.