I think you both put the loop in the wrong place
If it's installed between the thru-hull and the pump, it does just what both of you are experiencing. The pump PULLS water from the thru-hull to the pump...because the vent in a vented loop pulls air into the line to break a siphon, it won't let the pump prime...and if the pump can't prime, it can't pull in any water. It works when you put your finger over the hole because that cuts off the supply of air that prevents the pump from priming.Otoh, the pump PUSHES water into the bowl, something that the vent in the loop cannot interfere with...Worst case, if the one-way air valve in the hole that only allows air in but nothing out is missing, water will just squirt out of it as it goes by.And that's why any vented loop in the head intake should not be in the line between the thru-hull and the bowl, but between the pump and the bowl...to replace that short piece of hose that comes off the top of the bowl and goes to the fittng in the back of the bowl. The above applies to manual toilets only...if your toilet is electric, the loop has to go between the thru-hull and the pump...but you can't use a vented loop, it has to be an electric solenoid valve that's wired to the flush button and closes the air off when the button is pushed so that the pump can prime.