[roylor4]

Avoid Squier Bullet series. affinity series is solid, but pickups are less than brilliant. The Classic Vibe series are good, period, but $399.

For the money, The Yamaha Pacifica 112v is a fantastic buy. Good hardware, durable and Alnico pickups. If I were starting over, I would get one of these two or a Classic Vibe Tele.

Amps? Big bag 'o worms here. I would recommend a small tube amp.

Bugera V5
Blackstar HT1R
Supro Bluies King 8

I can also highly recomend the Orange Micro Terror paired with a 10' or 12" inch cab.

If they buy a decent guitar, but cheap out on the amp, they will regret it and vice versa.

For $600-700 you can get a great sounding, high quality rig.

For 3 bills + they can go with a Fender Champion 20 and an Affinity Strat or Tele. Several steps below, but still good, solid gear to learn on.