Cannot use display capture with any game as my ingame FPS becomes CHOPPY?

[JayceOCE]

Title basically explains the issue. I can use game capture with no problems and the FPS looks great in game.
However, when I try to use display capture it makes my ingame FPS super choppy and unplayable. When I look at the stream preview on my second monitor, the game looks smooth when I'm moving around as if there's no FPS stutters - but I can see the jitters and choppiness on my main monitor. The ingame FPS will even show that it's 200+ FPS but still produces the effect. Even if I run it in performance mode, it still happens. Has anyone ran in to this issue before?

The game that I'm playing is pretty low on resources to run. Halo 3 on PC. I also make sure to play it fullscreen with no vsync.

x264
2 keyframe
Preset Faster
Profile main
CBR 6000

 

[qhobbes]

Game Capture lets you directly capture the game you are playing, so long as it's DirectX or OpenGL. Game Capture is the most efficient way you can add your games to OBS, and should always be tried first.

I hope you have a 240 Hz monitor. Otherwise cap you framerate at your monitor's refresh rate. Don't render frames you cannot see.