Student loans get a lower interest rate and the reimbursement period can be prolonged so that students can pay every month. There are advantages with regard to student car loans. In order to apply, you need to be a US citizen and in a college or university. Read the rules carefully before selecting a lender. You will need to think of the monthly payments as well as the extra costs including insurance – a student with bad credit could get a loan with a co-signer. The co-signers have good credit history and can vouch for the student, but are responsible for the loan if the student cannot pay.