Look at my hitch set up please....

Best thing I ever bought for my trailer was a power jack. But to competely fix the problem, either the axles need to be flipped or the coupler needs to be replaced with a top mount (or both). If you do that, make sure you get the correct drop shank or you will still have the dragging problem. I bet that's what is dragging and not the arms.

It sucks to have to throw more money at it, but nothing short of raising that coupler is going to fix the problem.