OK, I'll keep it simple and bullet-point it for you lol.
1. Take out the carbon - leaving it in won't help and you don't need it anyway.
2. Put the wool IN - the substrate is meant to catch the dirt particles but it won't catch smaller particles that wool can, I highly doubt if it will affect your filter's performance (maybe someone can confirm this?)
3. Continue light feeding and do a 20-30% WEEKLY water change, keep checking your water quality in case the ammonia spikes, in which case, stop feeding.
Possibilities:
1. If it's dust from the substrate in your filter, the wool will trap most of it for you.
2. If you crashed your bacterial colony (hope you didn't!), then the bacteria is dying and re-growing repeatedly (tank cycling back to square one). Small daily water changes will get rid of the ammonia which is good for the short term, but ultimately you want to get the bacteria up and running again, so just do a weekly water change so that the bacteria can develop. Minimising the feeding when your ammonia spike is getting dangerous will be better for your fish - they are fine without daily feeding.
Question:
1. What kind of fish do you have? How many?