Does SD channels of DTH looks good in 32" Full HD 1080p LED TV or will it looks better on 720p HD LE

I have Standard Definition (SD) setup box (DishTV DTH India 480i or 520i broadcasting signals ). For me HD channel subscriptions are very costly and out of my budget so I am watching SD channels package.

I have LG 32" HD ready 720p LED smart TV (2014 model) and it shows good picture quality of SD channels. My watching distance is 6 to 7 feets. Now I want to buy a new LG 32" Full HD 1080p LED smart TV (32LF6300 Model 2015).
My question is that does Standard Definition channels looks good in 32" Full HD 1080p LED TV or will SD channels looks better on 720p HD ready LED TV due to more closely resolution of SD channels to HD 720p TV which causes less stretching of picture? Please give good and detailed answer.