Well, my console worked when my computer was set exactly as yours
my console worked perfectly until installing the nVidia driver for the GeForce. Now with the driver it doesn't after starting X-Windows.
My computer boot in init 3 and the console works( it's not 80x25)
then after logging in and typing startx , X-Windows loads but the console is not accessable anymore. Exiting X-Windows doesn't fix the problem. I can still blindly type startx to get back to X-Windows.