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I've never used the Megs da kit but the literature states that 1200-3500 rpm as compatible. Your drill is within the lower end of the range. It seems it would work but I'm not sure as to how well.
You might want to do some research (read reviews) on the Harbor Freight DA polisher. I believe it's around $55. It's about half what a PC 7424XP runs. I don't know enough to recommend it, but I've heard some good things about for the money. My experience with HF tools has been mixed at best (terrible experience with a benchtop drill press).
P.S. One other thing. You could try your drill and if it doesn't work you could get a more powerful corded drill for not alot of money. I have a Ridgid 3/8" and they are less than $40. The Ridgid has a max rpm of 2700. Thing is that if you only need a set up for car polishing a DA would be the better option unless these are truly the only two cars you will polish with it.
CWTurner
I failed to mention a problem with the HF DA. It's really not a DA problem but a pad problem. Assuming HF hasn't corrected the problem, the pads they sell are designed for a 5" backing plate and the backing plate on their DA is 6". The consequence is that the plate digs into the edge of the pad and destroys it. Saw this on a youtube video.
If you choose the HF DA, I'd go with the 6.5" pads sold by AG.
I think the better idea would be to get a Lake Country or comparable 5" backing pad. The factory backing pad, besides being too big, is just not that well balanced. The Harbor Freight pads (made by Warrior) are actually pretty good though if you have a proper backing pad.