What is iCloud storage is described in the articles Introduction to iCloud - Apple Support
Apps and features that use iCloud - Apple Support
When you first set up iCloud on a device, iCloud storage is automatically turned on for certain apps. Some iCloud features are also turned on automatically. You can turn these on or off at any time and customise the settings for each device.
you have turned off boxes for notes , mails , photos .....they have temporarily stopped syncing and no data from these applications will be shown in iCloud unless you turn on the boxes again , the cloud storage is shown full as it has exceeded the iCloud storage limit Check your iCloud storage on iCloud.com - Apple Support
If you don't want to buy higher storage plan first archive the iCloud data Archive or make copies of the information you store in iCloud - Apple Support
And then downgrade the storage plan Downgrade or cancel your iCloud+ plan - Apple Support
Only files should be saved to external hard drive Connect and use other storage devices with Mac - Apple Support
Read the article Other ways to back up and restore files - Apple Support
Use cloud-based services
Cloud-based services don't require you to connect an external hard drive to your Mac. For example, iCloudcan automatically store your photos, calendars, contacts, notes, passwords, and more. And it includes iCloud Drive, which can store documents, desktop files, and other files of your choosing. To access those files, you just need to be signed in to iCloud. Other cloud-based services are available from third parties.