I would say that either the lines are to high up on the bucket or you are flowing water to quickly (or both) If water is flowing quickly it is likely that you will see little to no difference in water quality. Other than this bucket, what filtration are you running? These really need to be an auxiliary filter to the main filtering system. Also the water getting to your NNR or RDSB (what ever you want to call it) needs to be free of particulate matter other wise it will become a nutrient sink and contribute to nitrates & algae instead of remove them. A typical overflow box lets a lot of debris past it, it really needs very finely filtered water getting to it, like 50 microns or less.( les would be better if it is an option) I'm not sure your going to get the results your looking for with this configuration. Did you say you were limited on space? What size tank it it?
Joel