Even though this does not affect the PC when working, it slows down starting up and shutting down in a very boring way + you don't get the updates that might be important to have for program purpose or for safety reasons.
If you would have this "Win7 auto update loop problem" problem, this is the solution :
- Goto control panel
- Goto Windows update
- Check the available important updates
- select one of the updates separately
- click install (or OK)
- restart your computer
- select the next update
- click install (or OK)
- restart your computer
- ..
- Until the necessary updates are done.
That's it.