Faults:

So far the car has been extremely reliable. I service the car myself (to change oil and filters). It's a relatively easy job and reasonably cheap for oil and filters etc.

General Comments:

Love it - being an Aussie I've always been a Holden man, 'til one day I met "Pug", and introduced her to my wife who was looking to get rid of her 2003 Impreza. We haven't looked back. It's powerful, comfortable, economical, and a great design.

Faults:

Lots of irritating squeaks and rattles.

General Comments:

The car was nice to drive and rode beautifully, but the clutch was incredibly heavy.

Straight line speed was adequate, but the engine was always protesting. The real fun is to be had in the corners.

The cabin was a bit outdated and we had to have extra leather put in to cover the tragic fabric inserts.

Faults:

Front brake discs started to get warped, and caused shuddering when braking. Apparently brake discs on 306s have a shorter life than most.

Got them machined under warranty which fixed the problem (as long as you're driving under 80-90kph.) Hopefully next time they'll replace the discs with new ones.

The build quality is better than I expected from a French car, the interior feels and sounds solid. No squeaks or rattles so far!

General Comments:

The handling is excellent. My old Prelude was easy to drive quickly through the corners, but the Peugeot makes things so much more entertaining.

The 6-speed gearbox feels clunky when cold, but once warmed up, it is quite fluid and nice to use.

Steering response and feel is also fantastic. However not so good is the huge turning circle to the right -- makes U-turns and parking attempts difficult. From this you can tell it was designed first and foremost for people who drive on the right-hand side of the road...

Seating is quite comfortable, even the rear seats. With the seats down, the hatch area is quite impressive.

Fuel economy is quite decent when you aren't pushing it, though it requires premium fuel, making things a bit expensive.