The best advice I can give you is to try going to a LBS and talk about used bikes. I know you want a new one, but if you get a used one through a LBS there is a much slimmer chance of it having problems. At my LBS they had some older model Trek comfort bikes that were just a shade over $200 I believe. They were new. Try asking them if they are looking to get rid of some older models. You may find a good deal there. You may also try some bigger sports retailers like around here we have Scheel's All-sport. Massive outdoor sport shops usually have some deals. You may end up going with something from a store like Wal-Mart or Target, but if you open lines of communication with a LBS they may be able to guide you well. Just give it a shot. It can't hurt to go around and gather opinions. They may be able to guide you on some of those bikes from retailers. They can give you the good and bad points of each, and try to hook you up with something that will fit your needs.