Yeah I have been having this problem over the last month, aux cable trapped in the glove box and now got a bad contact, had a few risky moments leaning over to move the cable around on the motorway :S
Stupid design and I really get fed up with it. When I get a satnav stereo they have a proper iPod lead out the back of the stereo I plan to feed into the armrest cubby hole thing

That should sort this stupid aux cable situation