What is the significance of "b'Chesed ve'Emes Yechupar Avon"?
Brachos 5a-b: If one engages in Torah and Chesed and buries his children, all of his sins are pardoned. "Emes" refers to Torah -- "Emes Keneh v'Al Timkor." We learn burying one's children from a Gezeirah Shavah to "u'Meshalem Avon Avos El Cheik Beneihem."
R. Yonah: There is no Kaparah of sin without Teshuvah. Also after Teshuvah, one must take counsel with his Nefesh to receive a full Kaparah. Every Teshuvah helps to save from destruction of the Nefesh. However, one is pleasing to Hashem based on the ways of Teshuvah, and his Nefesh will receive pleasantness in the world to come. His sins are erased, and it is as if he never sinned. His virtue and the reward for his Mitzvos remain. There is Teshuvah that increases reward, in addition to easing the sin 1 . "I swore to the house of Eli, that their sin will never be atoned with animal or flour offerings". However, it may be atoned through Torah 2 . Some say, it may be atoned through bestowing Chesed (Yevamos 105a). This is like our verse!
Sha'arei Teshuvah 4:5: This is like doctors say about bodily illnesses - the opposite heals. A sinner should put to his heart to strengthen Emes, support those who seek Emunah, remove Sheker and injustice, for making Emes known and returning it to its strength is honor of Hashem.
R. Yonah: Some sins, Teshuvah atones and afflictions finish the cleansing. Some sins, Teshuvah and afflictions atone, and death finishes the cleansing. Gemilus Chasadim has awesome benefit to remove punishment, aside from [Peros in this world, and] the principal is intact for the world to come - "Matan ba'Seser Yichpeh Af" (21:14). Sha'arei Teshuvah 1:47 - if he did not repent, Chesed and Emes will not atone for him.
Malbim: Even though one who sinned b'Mezid, he can fix it via Chesed and Emes, to do Chesed Bein Adam l'Chavero, without intent for reward. This is Chesed of Emes! He should also engage in Emes in investigation; Chesed is Gemilus Chasadim; "Emes" is Torah (Brachos 5a-b).
What is the meaning of "uv'Yir'as Hashem Sur me'Ra"?
Rashi: Via Yir'as Hashem, he veers from evil.
R. Yonah #1: This is the foundation of atonement of sin. He increase Yir'as Hashem in his Nefesh, so that if will occur to him situations like those in which he sinned, he will rule over his Ru'ach with Yir'as Hashem. It is as if it says v'Sur me'Ra. First he gets Yir'as Hashem, and when situations occur like those in which he sinned, he veers from the sin. A Ba'al Teshuvah is one who is tempted at the same age, in the same place, with the same woman [and now he refrains - Yuma 86b]. This is when there is no lack, loss or shame [deterring him from sin, only Yir'as Hashem].
R. Yonah #2: It is as if it says uv'Yir'as Hashem Lasur me'Ra. He increases Yir'as Hashem in order to veer from sin if the opportunity will arise. Even if it does not occur, the sin is atoned via Yir'as Hashem in his heart.
Malbim: It is better to go with Yir'as Hashem, for via it, he veers from evil, and does not need atonement at all - "Ashrei Nesuy Pesha
