backspace not working in vim inside cmd or ConEmu or console2, cygwin terminals on windows 7

Question

hitting single backspace character taking time to delete a single character in Insert Mode. If I type 2 backspace character quickly then the text in that line become highlighted and even :set hlsearch! is not removing the highlighted text.

I have tried :set backspace=2 but still the same problem.

Any other workaround for this issue?