I'm posting this mostly because I deserve to look at it again. Bad, bad bad.

No reads on Villain.
I know this was played terribly. I was probably in a bad place at the time.
I can't remember if I looked at the stack sizes/pot size or not, but the size of the raise was terrible. I had nothing but over cards and he called a PFRR.

Is folding the flop too weak or the smart thing to do? Leading for $3 threw me off.
If I did continue should I...
a) call & turn dependent
b) just make my raise greater
c) cut myself

Ultimate Bet No-Limit Hold'em, $.50 BB (10 handed) Hand History Converter Tool from FlopTurnRiver.com (Format: FlopTurnRiver)

saw flop|saw showdown

BB ($36.20)
UTG ($123.95)
UTG+1 ($53.45)
UTG+2 ($45.05)
MP1 ($108.90)
MP2 ($85.35)
MP3 ($48.50)
CO ($23.55)
Hero ($58.60)
SB ($48.60)

Preflop: Hero is Button with A, K.
2 folds, MP1 calls $0.50, MP2 calls $0.50, 1 fold, CO raises to $1.5, Hero raises to $5, 3 folds, MP1 folds, MP2 folds, CO calls $3.50.

Flop: ($11.75) 8, 9, 4 (2 players)
CO bets $3, Hero raises to $9, CO raises to $18, Hero folds.

Final Pot: $32.75