A 5V device connected to a 5V power source will draw the current it is designed to draw. It doesn't matter the current available as long as it is as much or greater than the current the device will draw at its design voltage.
The regulator, for instance, is rated to supply a maximum of 500mA when the output is set for 5V. But if you connect a 5V rated device that draws 100mA, that is all the current that will be used. Not 500mA.
http://cds.linear.com/docs/en/datasheet/8021fd.pdf
It is really important for you to study the basics before you start throwing projects together and hoping for the best. Understanding Ohm's Law, for instance, is an absolute requirement. Same for Kirchoff's current and voltage laws. And understanding of at least the 2nd approximation of semiconductors, as well.