Problem: Fresh install of Windows 7 will not update, even with SP1 applied.
Before starting, make sure automatic updates is disabled.
1. Install SP1 if you haven't already.
2. Install the April 2015 servicing stack update - KB3020369
3. Install the April 2016 rollup - KB3125574
4. Install the July 2016 rollup - KB3172605
5. Install the Windows Update Client March 2016 - KB3138612
6. Install the December 2016 Security Monthly Quality Rollup - KB3207752
7. Go into Control Panel>Windows Updates and enable automatic updates. It will automatically begin checking.
Microsoft recommends #1, #2, and #4.
#3 makes it so you have a lot less updates to download and install.
#5 is self-explanatory.
#6 gives you the latest version of win32k.sys which has been implicated in Windows Update issues in the past.