Ok, so the same situation as before happened to me today. Here is how I handled it, like you said, and I still got beat. Better way to play this or am I just unlucky?

Game #1065917370 - (blinds $0.10/$0.25) No Limit Texas Hold'em -
2005/11/02-21:49:17.7 (CST)
Table "Rock Island" (real money) -- Seat 9 is the button
Seat 1: tttttt999 ($9.50 in chips)
Seat 2: WuVeezy ($10.35 in chips)
Seat 3: biffba ($9.50 in chips)
Seat 4: Beretta55 ($8.90 in chips)
Seat 5: MANDMS ($10.00 in chips)
Seat 7: krum2000 ($24.50 in chips)
Seat 8: Little Beach ($14.45 in chips)
Seat 9: tmk1010 ($14.10 in chips)
Seat 10: lovejones88 ($23.55 in chips)
lovejones88: Post Small Blind ($0.10)
tttttt999: Post Big Blind ($0.25)
MANDMS : Post ($0.25)
Dealing...
Dealt to krum2000 [ 7c ]
Dealt to krum2000 [ 7h ]
WuVeezy : Fold
biffba : Fold
Beretta55: Fold
MANDMS : Raise ($0.25)
krum2000: Call ($0.50)
Little Beach: Fold
tmk1010 : Fold
lovejones88: Call ($0.40)
tttttt999: Call ($0.25)
*** FLOP *** : [ 7s 5d Kd ]
lovejones88: Check
tttttt999: Check
MANDMS : Check
krum2000: Bet ($2)
lovejones88: Call ($2)
tttttt999: Fold
MANDMS : Fold
*** TURN *** : [ 7s 5d Kd ] [ Ad ]
lovejones88: Check
krum2000: Bet ($4)
lovejones88: Call ($4)
*** RIVER *** : [ 7s 5d Kd Ad ] [ 9s ]
lovejones88: Check
krum2000: Check
*** SUMMARY ***
Pot: $13.35 | Rake: $0.65
Board: [ 7s 5d Kd Ad 9s ]
tttttt999 lost $0.50 (folded)
WuVeezy didn't bet (folded)
biffba didn't bet (folded)
Beretta55 didn't bet (folded)
MANDMS lost $0.50 (folded)
krum2000 lost $6.50 (showed hand) [ 7c 7h ] (three of a kind, sevens)
Little Beach didn't bet (folded)
tmk1010 didn't bet (folded)
lovejones88 bet $6.50, collected $13.35, net +$6.85 (showed hand) [ 7d 8d ] (a
flush, ace high)