K7o in BB

[rivered]

I've been trying to call with a lot more hands against steals and this hand just came up. I think I played the flop badly but I'm interested on what others think a good line is before I say anything else.

EDIT - villian was 30%/20% with over a hundred hands but relatively passive postflop at 1.6/1.6/4.5

Party Poker 5/10 Hold'em (6 max, 5 handed) converter

Preflop: Hero is BB with K[img]/images/graemlins/spade.gif[/img], 7[img]/images/graemlins/club.gif[/img].
<font color="#666666">2 folds</font>, <font color="#CC3333">Button raises</font>, <font color="#666666">1 fold</font>, Hero calls.

Flop: (4.40 SB) T[img]/images/graemlins/club.gif[/img], 8[img]/images/graemlins/club.gif[/img], 5[img]/images/graemlins/club.gif[/img] <font color="#0000FF">(2 players)</font>
Hero...

[Stoli7]

check-fold?

IMO K7o is borderline BB defense.