Reliable cars on a budget | News & FAQs

Hi,

For a first car I was hoping to get a Peugeot 406 as I liked the way it looked and fancied something a bit different from a normal hatchback. There were many £1000 or under, which seems very reasonable.

I heard the insurance would be high even with pass plus, as a result I am not going to have any significant amount of money available if anything needs fixing.

I have read reviews of the 406 and it seems that it is fraught with expensive faults (even the minor ones are expensive to fix).

My second choice would be a Toyota Corolla, which my father has, and has been extremely reliable for 7 years. However, I am put off by the fact that it is in insurance group 10 whereas the 406 is only in 9.
John by email
 

John,

I don’t want to tempt fate but Corollas, especially the older generations, are bullet-proof. It’s styling is also very ‘different.’ The 406 on the other hand, despite being in one of the greatest car movie chases ever, is not an exciting car.

The savings on repairs and fuel (35-42 mpg versus 25-31 mpg if you are looking at petrol engines) will outweigh the insurance cost. For a car of this value you could consider just having third party fire and theft insurance to save more. If your Father is still going to use the car regularly some insurers (like Direct Line) may let you be the second named driver on his insurance so that you can build up your no claims insurance and get a better premium.