Went to our local Aquarium store tonight. They seem alot more informed then Petsmart/Petco. They actually employ Marine Biologist.. ; ) I took several picture's in, and we decided to treat him for Velvet. Got him on some Quick Cure tonight and he has already calmed down.
To answer your question, no, we have no rust stains. We do have a water softener, and just had (paid big bucks) our water analysed (sp), and the test came back perfect. I (hobby) breed Ragdoll kitten's, so water quality is important!