Toyota Camry best way to fix a 1/4" hole on a door sill

[senordan]

I purchased a used Camry from Carmax and found a 1/4" hole plugged up. Never noticed it on initial inspection as it was professionally "covered up" with a rubber plug. There was no rust noticed on the inspection as well.
So now I have this 1/4" hole on the right pass door sill. Thoughts on getting this repaired? I can already see the paint bubbling up. Weld? Bondo? Sue Carmax?

 

[AuSeeker]

That hole looks to have been drilled, it could have been done to use a tool to remove a small dent by a "Paintless Dent Repair" tech, if not I'm not sure why is was drilled, it's definitely not a rust hole.

I would use a rust converter on it then either fill it with your choice of body filler then primer and touchup paint, or just touchup paint after the rust converter and then put the rubber plug back in, check it about every 6 months to a year to see if the rust converter has stopped it from further rusting and reapply if needed, etc., etc.