It all depends on what your TV can handle.
If the best true resolution your TV can do is 720p, then leave it at 720p, as your TV is just going to take the 1080i and knock it down.
If your TV can do 1080i, then you will have to decided which has a better scaller.... Your TV or the HR20.
As one of those two is going to need to take a 720p and upscale it to 1080i.
If the TV is better... leave the unit on native resolution
If the HR20 is better... fix the resolution to 1080i
If the best true resolution your TV can do is 720p, then leave it at 720p, as your TV is just going to take the 1080i and knock it down.
If your TV can do 1080i, then you will have to decided which has a better scaller.... Your TV or the HR20.
As one of those two is going to need to take a 720p and upscale it to 1080i.
If the TV is better... leave the unit on native resolution
If the HR20 is better... fix the resolution to 1080i