I use a Globalsat EM-408 GPS with my Mega 1280.
I have no problems about reading NMEA data and/or parsing them with TinyGPS library.
Nonetheless I would change some settings in setup (baud, sampling freq...). Here's a piece of my code to change the baud.
This is an example code that sends to the GPS the NMEA message to turn the GGA option off.
Neglecting the mistakes I did before with single/double quotes, the most important parts are the delay().
Without them the code doesn't work: I think that it is due to the fact that they give the time to the GPS to receive the whole message and change status.
NOTE ABOUT THE CHECKSUM:
I expected that disabling the checkSum (the zero in "025"), the second number (the 25 of "025") should be useless..that's not true, but I did not find the reason.