You'll find varying opinions on this, both are solid cards and will perform well for you though.
Without knowing your requirements it's hard to say for certain but I would tend to lean toweards the Radeon 7500 as it has a very slightly better 3D feature set, along with better 2D visual quality, and DVD playback.
Performance at stock clockspeed is very close, either card could have the advantage depending upon the individual game. I'd probably give the GF2 Ti the very slight edge on current games though as it's performance is more well rounded across the field.
On the other hand, I think it likely the Radeon 7500 will outperform the GF2 Ti in most future games as memory controller efficiency becomes increasingly important with the more bandwdith dependent nature of upcoming games.
What big advantage of the Radeon 7500 is that it comes stock with ATi's excellent TV-Out, and HydraVision support.
Both cards can overclock quite well usually, in general I'd probably say the Radeon 7500 overclocks a bit better but that's really dependent upon which GF2 Ti you compare it to.
The drivers for the Radeon 7XXX series have had plenty of time to mature now, and I wouldnt expect too many problems at all.
nVidia's driver support for the GF2 Ti is excellent and you shouldnt have any problems with it either.