Hi Shrijit! Welcome to the forum. Well as you have read a lot suggestions, I will try to keep mine as simple as possible. First,let's finalise the fuel option. In my opinion go for diesel,1200per month will easily go up to 1500, once you buy a car and especially if its a Fiat.There will be lot more weekend getaways you will undertake. Regarding the model if you can get old Punto 90 bhp for the price you mentioned it seems to be a good deal,however you can still bargain for it. With excise duty cut withdrawn and no more discounts at least till March, its difficult to predict the right price to buy. Probably if sales is very bad for next two months, you may even get an offer for Aavy, if you wait till March.