God does love everyone--that doesn't preclude him from being dissapointed or meting out justice. A father who disciplines a child doesn't stop loving his child for the duration of the discipline. A father, a good one, attempts to raise his child well because of love for his child, not despite it.

It is a mark of how poorly many children have been raised that they think "God loves me" is a justification to make no attempt at betterment--or that Gods love (being infinite) somehow precludes them from also being sinful.