The settings are in a carbonite.lua file in your wtf folder, in a folder called "Saved Variables". There will be one of these at the account level, and another at the character level. Not sure what data are in which one, but if you delete them, and rename the corresponding carbonite.lua.bak file by deleting the .bak part, you may solve your problem without losing too much data. If that doesn't work, you'll need to delete that file as well. Deletions should be done when WoW is not running. When you restart WoW, if there is no carbonite.lua file in the appropriate wtf folder spots, carbonite will create a new one.
Note that things like your quest completion history are in there somewhere, and will be lost if you delete the file containing them.
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