This article is from the Piercing FAQ, by Anne Greenblatt with numerous contributions by others.
Follicular cysts may affect both new and healed piercings. They are
caused by a blocked pore adjacent to the piercing. Follicular cysts
often appear as red bumps, or pimples, adjacent to the entrance of the
piercing and will produce a discharge of pus and blood. Hot compresses
or soaking the piercing in hot salt water will encourage the cyst to
drain. Hydrogen peroxide gel can be used to dry-out follicular cysts.
 
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