Nightmare Fuel. I think this will be a useful wiki.
And here's one video, Balloon Land, which was linked off it. It's way fucked, and the pincushion man is INCREDIBLY PHALLIC. His body resembles a safety pin around which is a pincushion. And the safety pin is unhooked, so you've got this big quivering metal erection coming up out of his lower abdomen. Which, at one point, he thrusts at a couple of characters in an attempt to pop them.
The first site reminded me of one of my own "nightmare fuel" moments, which was in Who Framed Roger Rabbit, which I saw in the theater when I was about... seven? I remember myself as being seven, at least. The part where the bad guy dips the shoe in the uh, "dip," and he melts and dissolves. That disturbed me so much that we left the theater.
I always have had a sympathy for inanimate objects. Admittedly, this one was anthropomorphized, with eyes and movement and emotions and such. But I also remember crying over a leaf. A crushed leaf. A fictional crushed leaf. (Margaret, eat your heart out.) It was in Howliday Inn, part of the Bunnicula series. A rambunctious cat plays with a leaf and "crushes it to powder" or something, and I cried, thinking about that poor leaf.