The Good News for us is that God shows us mercy and doesn't give us the punishment we deserve. He also shows us grace and gives us love that we feel we don't deserve.
A repentant sinner can ask for God's forgiveness.
With all due respect, I don't think so. Yes, any one sin carries the penalty of spiritual death. But, as I recall, just as it speaks of different levels of heavenly rewards for believers, the Bible speaks of differing levels of punishment for unbelievers. The OT penalties for breaking different parts of the Law certainly provides for it in the earthly realm. Some were punishable by death; others not.