Distortion while editing with VariAudio and Audio Warp

I just upgraded to Cubase 6.5, after which I “trashed my preferences” for good measure. Everything has been working great, but now when I am using Variaudio or Audio warp, and I am auditioning a wave (looping it while I’m editing it) about 3/4’s way through the wave playing it will distort. Once I bounce it the distortion goes away. any tips on how to fix this?

I think I fixed it!

Focusrite users be aware:

I checked the settings in my Focusrite Saffire Pro 40 audio interface, and I tried turning on the “Active Monitor Pad” and that has taken care of the distortion.