I meet exactly the same problem with kernel 2.4 or 2.6 on SuSE 9.0 and Nvidia driver 5328
But TV-out works great.
My card is a MSI GeForce4 MX440-TD8X
But I tried Nvidia driver 4363 and fb text consoles works in 800x600 and
The problem doesn't seem to come from XFree-4.3 but it looks like a bug in the new release of the Nvidia driver.
Hoping it'll be solved soon.