People can "believe things they also see as lacking purpose," if you mean that they believe the thing lacks purpose, e.g. I might believe that the stone lying on the ground over there is pointless. But the fact that I hold the belief is not pointless. In the case of the stone, I hold the belief about it in order to navigate the surrounding terrain.
And in general, as onlytheseekerfinds noted, beliefs are costly by impeding alternative beliefs, and they also have a cost even in physical energy, since it consumes resources to express them, even mentally. So no one would hold a belief unless there were some corresponding benefits to outweigh the costs. Robin Hanson talks about this a bit here.
I believe life has no absolute purpose. This is probably a costly belief compared to other, more rosy (i.e. religious) beliefs with which I am very familiar.
Nonetheless, I hold the belief I do, despite it's negative consequences (emotional, motivational, psychological, etc.), because I'm compelled to believe this way based on the evidence.
As I said, I don't see any reason someone couldn't believe in a non-honest god. I've talked to deists who don't consider "honesty" a characteristic that applies to the sort of hyper-powerful entity they believe created all things.
If our conscious experience is a simulation, then are the creators of that simulation (i.e. the gods) being "honest"?