Hey, I want to suggest two options for you based on your situation and your desires (Part 1). Please take them into consideration very very carefully. P.S. section is a supplement.
Part 1
1. IF you are 100% sure that these anxiety issues you are having will completely disappear as an accepted medical student (which they might not, so consider this very thoroughly), I think your only bet is to go to the Caribbean or overseas for med school. Explain your situation and take out a loan and you're practically in. HOWEVER, if you do not master the curriculum (essentially self teaching the whole way) and get in at least the 95%-ile in Step 1, you are in very deep trouble. Residencies are very competitive and you must be very impressive. No residency = your MD degree is just expensive toilet paper
Again, the reason for this is that A) your medical school career in the US is over (as Goro said ) and B) You are 100% certain, all of your mental and health issues will disappear forever and you will smooth sail through med school.
2. If you are not 100% certain you will be completely fine immediately and will never have these issues again, then another masters program is not for you. Personal issues will always happen and our mind will take any excuse to not focus on constant, nonstop mental rigor and stress (I would argue that 99% of all personal statements that med schools receive from people with a GPA<3.4 is a list of personal issues that caused said GPA. They've heard it all, from asteroid hitting your house in Russia to Grandma shot Grandpa). There are a few people (slightly insane) that can pull through and succeed in these situations and Adcoms want just those people.
In this situation, another highly satisfying career is indicated. Pursue the dozens of highly satisfying careers that coincide with your passions.
Also, for the love of god, please answer our question and tell us what masters program this was.
P.S.
Applying to Tulane as a hail Mary is an idea worth any personal loan. Again, this is only if option 1.B is valid. Pros and cons below:
Con: With their deadline being June 1st, many (smart) waitlisted students without acceptances will apply to this program as a back up. Do not set your hopes on this too high, as their class size is very small and every smart waitlisted med student and their cat's mother knows about this program.
Pro: There is a shortage of smart applicants. Many waitlisted students (and I know quite a few who do this) will remind themselves "people get off the waitlist up until the week before matriculation!" and sit there writing letters of intent, without also investing in brilliant programs designed just for them, such as Tulane's SMP, until its too late. This June 1st deadline increases your chances.
If you apply to this program, I highly recommend (no, mandate) that you get a letter from the professor who failed you, explaining the situation. Hopefully you worked with the professor during your issues and they sympathized with you. Write them a very nice email stating your situation (that you want to still pursue this career) and how they can help you come out of the dirt. Admission's committees are not heartless and as long as your story is reasonable, they can give you another chance. Failing SMP programs is direct evidence they are not cut out for med school.
You must prove to them that this was all a misunderstanding and you must provide evidence:
1. A letter from the professor that failed you stating that you aced all of the material you took and demonstrated mastery, but you failed because detrimental medical reasons prevented you doing some of the work
2. High MCAT score
3. Letter from your physician confirming your circumstances (without violated HIPAA).
I would also suggest (no, mandate) seeing a professional in the mental health field and determine with them if your issues can be managed effectively in a masters or medical school setting.
As a conclusive note, if you want to take a chance at Tulane, you must first take a minute to think about whether you can overcome your issues faced in the SMP with 100% certainty. You must then, as quickly as possible, acquire the letter(s) I mentioned from your faculty/physician.
If you cannot gather this evidence or if you don't go the Tulane route (they reject you/you don't apply) AND you are 100% certain that you are cured and ready for success in medical school, (I really mean 100%, not even 99.96%):
You should apply to Carribean or overseas programs and do very well and score a lower tier residency. Caribbean schools are not as cutthroat and, arguably, the Step exams are the most important in securing a residency.
I should be studying for my MCATS now. Best of luck.