Kahi, sounds like you have too short of a butt on the planer rod. I put a full on swivel holder on my boat and ran into the same thing with mine, had to swap out the butt.
Or you can pull the holder and move the swivel up by drilling a 1/4 hole thru the holder at the desired height and put in a 1/4 SS bolt/nut drop the swivel back in and go. Cheaper than a new butt
Foul Hook'd