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I have purchaced a Peugoet 306 XNDT diesel with 160 000 miles on the clock for £600 with one owner and a full service history. It is actually a surprisingly good car. Interiors do not tend to wear well but if looked after they are extremely confortable with good supportive seats, well set out dashboard and good driving position. The downside is a lack of top end power but I suspect this is a fault of worn parts or leaks reducing boost rather than the design. There is huge amounts of torque making it ideal for towing. The ride is superb, as you would expect from a french car, as is the handling. Combined with a very low fuel consumption of around 45 - 50 mpg I would recomend one of these cars to anyone after a cheap runaround. The low insurance group (5) also helps reduce costs. However, I strongly suggest you wait for a good example to come on the market as there are many ropey high millage cars out there which are more trouble than they are worth. Unless cared for inteiors wear badly, electrics are prone to failure and reliablity suffers. A good service history is vital; you have to ensure the cam belt has been changed when necessary, the service intervals are around ever 80k. If this hasnt been done and it is coming up for a change you are facing a bill of a few hundred pounds, or a new engine if you don't do it.
Well I'm not sure what the L stands for, but I have an N reg Peugeot 306 (cabriolet) 1.9 XND. And it's great. Well ok, not "great" per se, but it runs, is pretty cheap, and is quite reliable. I brought this little stunner oer 2 years ago for £150, and tomorrow the mileometer will turn over to 160,000 miles. For £10 of diesel, I can generally get 110-120 miles out of the beast. It's not bad to insure, I think fully comp this year is costing me about £450 from direct line. It's passed its MOTs pretty easily, only needing the brake cable tightening, new brake pads, and a new windscreen wiper motor over the last two years. The body is galvanised, so the bit scrapes down the wing (the wall came at me!) haven't turned to rust. However, it's a bit sluggish, even with only me driving it. It's also not really "cool", and the engine does sound like an ancient tractor. However, spare parts are cheap, and I think the mechanics at my local garage are so amused its still working that they give me cheap rates... The tax isn't so forgiving, as it's in the PLG category. Going uphill, my friends often ask if they should get out and push - this really isn't the car to impress the girl/guy of your dreams.