If you fail the IVA there is no guarantee that creditors will co-operate in a DMP --- they are under no compulsion to do so, nor are they under any compulsion to remain in the DMP if they initially agree. A DMP is an informal arrangement and the time taken to set up will depend on how co-operative creditors are. They do not carry out formal reviews or keep a microscope on your finances. On the other side of the coin you have no protection from debt collection, should creditors so decide.
Finally, in a DMP there is no time limit and you could be paying for many years until such time as you have repaid the whole debt along with interest if not all creditors agree to freeze it.
DMP = not legally binding, debt normally has to be paid back in full and interest often still accruing
IVA = legally binding, any debt not repaid back by end of successful term is written off.
If you fail your IVA you are at risk of creditors taking repossession proceedings against you and they may not necessarily agree to a DMP given you have failed one repayment agreement. Even if agreed a DMP may end up being more onerous than the IVA you already have in place.
Why do you want to fail your existing IVA, whats the problem?
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