Blue screen error messages and crashes

Whats up,
I am currently running Win ME and this stupid windows version is crashing and every other time when I restart my computer it comes up with 3 to 5 blue screen errors and sometimes loads to windows then restarts without warning. I hit control alt delete when the messages appear and it freezes on the last one and I have to mannually reboot only for it to come up with 3 more blue screen errors. The same thing happens. on the Third manual reboot the computer loads as if nothing ever happened.
But if I restart it, It will happen all over again. Every time I install something new it gets worse and on top of the blue screen errors it freezes 1 or 2 times. Not long ago after the computer was booted and a few applications were run it would become sluggish and then crash. I formated my HD and reinstalled ME. Now its doing this. I have Road Runner, no virus software(because I thought my virus software was causing it) and my Computer is a Compaq, with a 1.0ghz AMD Athlon processor, and 628 megs of ram. Any help would be appreciated.

P.S. I've heard that sometimes a bad processor can cause blue screens and errors or the comuter can run funny. Is this true and could that be my problem?

P.S.S. It has a new 500 meg memory stick and the original 128 meg chip. The computer won`t run without the original(aint that screwy). There are no other hardware(peripheral \) upgrades that I have made as of this post. \However the computer was sold to me at a swapmeet. They said it was refurbished.

P.S.S.S. The computer runs flawless in safe mode(except for most software and hardware that won`t load in safe mode) however it will sometimes restart on its own before the desktop apears.