Sometimes bugs, such as flies, carpet bugs and moths, lay eggs in carpeting. When the eggs hatch, small white worms, the larvae, infest the carpeting. This is especially true if there is a food source in the carpeting, such as old, rotten food or other organic matter.
Wool rugs are particularly susceptible to moth infestation because moth larvae eat wool. Moth larvae infestations cause broken and loose piles as well as holes or worn spots on the carpeting. A moth infestation can also be identified by the presence of cocoons and sand-like particles, larvae waste, within the pile of the rug.