Psalm 103. "Bless the LORD, O my soul, And forget not all his benefits." Verse 3: "Who forgives all your iniquities." That's God's mercy.
God's mercy withholds from me the penalty that I deserve for my own sin. But on the other hand, God sees me as a person who needs His compassion. "As a father pities his children, So the LORD pities those who fear Him."
He contrasts here mercy with pity. And I think a better word there is compassion.
God doesn't save us because He pities us. God saves us because He loves us