Grim Reaper:
Phantasmatics site is good, but for a really detailed look at building an FCG,
this site by KicktheFog is probably the best with detailed photos. Perhaps using that page will help with your problem.
I'm not sure what you meant by the crank arm being lower than the eyehooks being a problem. Mine is below the hooks, and she moves beautifully. As others have stated, get some pics and post them. Someone will probably spot the problem.
P.S.
Does the washer you're using spin? It should spin, but not wobble. That's the first thing that comes to my mind.