One might think that a student car loan is easy to obtain, since you have more years of buying cars in your future than someone with more credit history. Unfortunately, this is not the case, most individuals with no credit, like students, will find it is hard to get a loan, even one for a car. For one thing, the lender does not know your history. Even individuals with bad credit have history, and lenders are willing to lend to them over students. At least, it is a risk they can calculate beforehand
Secondly, students generally may not have the funds to make monthly payments. This is a time in your life where instability plays a huge role. You may be in college; you may decide to drop out of college; you may be getting your first job, your third, or your fourth job. Basically, it is a time of inconsistent, which is not favorable to the lender.

Most lenders will agree to give you the loan if you have a co-signer vouch for your financial behavior. Being a co-signer is not ideal, in case the person decides not to continue payments. Many parents co-sign with their teenagers; and when the son or daughter goes off to college and stops making payments, the parents have no idea. These late payments hit their credit scores as well.

A better option for student car loans, is co-borrowing. Similar to co-signing, the co-borrower has a stake in the title of the vehicle. This means until the person shows responsibility enough to pay off the loan, the co-borrower will be on the title.

These may be your only two options for getting a student car loan. If you are a responsible individual, it may be wise to get a relative to co-borrow into a loan with you. This way you can improve your credit for the future while still being accountable.