Having studied Vedic literature for many years (Bhagavad Gita, Mahabharat, Puranas, etc) I can affirm the Vedic understanding of hell.
1. It certainly exists.
2. There are varieties, all horrible.
3. Hellish punishment is not eternal, but the sentences are very, very, VERY lengthy.
4. Each soul recieves judgement at death, and is sent to the appropriate reward and/or punishment.
5. The purpose of hell is to teach a lesson; the basic lesson being to follow the laws of God.
Descriptions of hells include heat, darkness, fires, terrible animals, torturers, entrails being ripped, excrement and other vile substances, worms, and so on. Loud cries, misery, thirst, and the like.
Thank you for that Eastern point of view. That's interesting.