Below the lever you pushed in, that stopped your payout. Go directly below that, do you see a square screw sticking up about 1/4 inch and below that it holds a piece of metal that can come out or be pushed in after the screw is loose. pull the rod type arrow out just a little and see how action works and then a little more until everything winds up the complete slot action properly. Just a small movement at a time about 1/32 of a inch will do it. if that does not work then move the rod in until it works properly. Then tighten the nut firmly, snug it just a bit with fingers, so it wont move as you test your machine.
Good luck & Hope this makes more sense to you.
Chief