if the max volume adjustment on the chatterbox produces an audio level too low, try increasing the volume out on the ipod. You might just have to play around with the volume settings over and over till you find the right level settings.
I don't know about the Blue Tooth Chatter Boxes, but on the other ones the volume on the Chatter box only controls the receiving radio signal, not aux input. Your I-pod or mp3 units volume is the only volume control you have.
This is for the non-Blue Tooth chatter boxes, may or may not be the same for yours. I've gone through multiple audio patch cords, they seem to fail most.
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