A personal loan for $50,000 or more can help you get the money you need to buy a new car, pay off your mortgage, or start a business. But how do you find a lender who will give you the best personal loan for your needs?

Step 1: Get your credit score in top shape.

Your credit score is the key factor lenders use when considering a personal loan for you. If your credit score is in poor shape, your lender may not be willing to give you a loan or will require more collateral than you're willing to give. Typically, to get a loan of $50,000, you'll need to have a credit score in the 700s.

To improve your credit score, you first must understand how your credit score is calculated. Your FICO score—the score a majority of lenders use—is based on five factors, each accounting for a different percentage of your total score:

• Payment history - 35%
• Credit utilization - 30%
• Age of credit - 15%
• Credit mix - 10%
• New credit inquiries - 10%

While negative things such as late payments or hard pulls/credit inquiries will stay on your report for a few years, you can mitigate their damage by improving other areas. Creditors typically report activity to the credit bureaus around once every 45 days. So if you plan to apply for a personal loan, try to do it around 60 days after making improvements to your credit report.

How to improve your credit score quickly.

There are a few things you can do to improve your credit score quickly:

• Pay your bills on time. This will help build your credit history and show lenders that you're a responsible borrower.
• Pay more than your minimum payment. This will help you reduce your credit utilization.
• Don't open too many new accounts. Having too many credit accounts can hurt your score because it suggests you're not careful with your money.
• Use a credit monitoring service. This will help you track your progress and see if there are any areas where you need to improve.
• Consider getting a secured credit card. Secured cards are an excellent way to build your credit score because they show lenders that you're a responsible borrower.

Step 2: Compare interest rates and terms.

Before starting your loan application, it's important to compare interest rates and terms offered by different lenders. You want to find a lender who offers the lowest interest rate possible while also giving you enough time to pay back the loan in a way that fits your budget.

Step 3: Get pre-approved for a personal loan.

Once you have your credit score in good shape and have compared interest rates and terms, it's time to get pre-approved for a personal loan. This will help speed up the application process and ensure that you're approved for a loan that matches your needs and budget.

Step 4: Complete the application process.

Once you have been pre-approved and have completed the application process, it's time to wait for a response from the lender. You'll likely receive a decision within 24-48 hours, but you might need to be patient as some lenders take longer to approve loans.

The bottom line.

Follow these steps and you'll be well on your way to getting the money you need!