Cryptic crossword clue
Old characters in NZ settlement with toilet on island 7

The most common and most likely answer to this crossword clue is the 7 letter word PAHLAVI

P
A
H
L
A
V
I

Buddy explains!

The straight part
We know that "Old characters" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case old characters = pahlavi.
The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.
This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.

What does PAHLAVI mean?

PAHLAVI noun
  1. The principal gold coin of the Pahlavi dynasty (1925-1979).

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