Fold TPTK here?

$0.50-$1 Stars NLHE 8-handed

Seat was still cold, but after 20 or so hands villian has been very active and aggressive. Relatively new to the NL ring games, so apologies if this is a vanilla question or my play is embarrassingly donkish. Need to know if I should be totally rethinking my NL mindset. Scorch away.

PokerStars No-Limit Hold'em, $1.00 BB (8 handed) converter (http://www.selachian.com/tools/bisonconverter/hhconverter.cgi)

BB ($10.50)
UTG ($121.10)
Hero ($167.60)
MP1 ($42.15)
MP2 ($172.35)
CO ($123.90)
Button ($42.15)
SB ($90.90)

Preflop: Hero is UTG+1 with Q/images/graemlins/spade.gif, A/images/graemlins/spade.gif.
UTG calls $1, <font color="#CC3333">Hero raises to $4</font>, <font color="#CC3333">MP1 raises to $7</font>, <font color="#666666">5 folds</font>, UTG folds, Hero calls $3.

Flop: ($16.50) 7/images/graemlins/spade.gif, 8/images/graemlins/club.gif, Q/images/graemlins/diamond.gif <font color="#0000FF">(2 players)</font>
Hero checks, <font color="#CC3333">MP1 bets $4</font>, <font color="#CC3333">Hero raises to $8</font>, <font color="#CC3333">MP1 raises to $32</font>, Hero folds.

Final Pot: $56.50

You're not looking too great there. Best I can really see for you there is an AQ split. Fold was right.

A minireraise preflop almost always mean AA or KK with the occassional QQ, JJ, AK thrown in. This is read dependent of course, but generally this is true. I'd be folding this flop to any decent bet from Villain. His smallish $4 bet presents a slight problem tough. So I wouuld probably put in a small raise also and fold to a reraise. If he calls, I c/f the turn unless he puts in another tiny bet, which I just call. Same with the river. I think you played it fine.