In the movie, Hell is where evil souls naturally go when they die (while virtuous souls are taken to Heaven instead). Remaining on Earth as a ghost, in this continuity, is an abnormal destiny, which only arrives in presence of a Curse, which is most often caused by an unpunished earthly crime or otherwise unsolved mortal issue, which the souls must deal with before they can move on to either Heaven or Hell.
Hell seems located underground. It is a fiery place of suffering, but is not actually a place of evil, only of punishment: Ramsley's attempt to use a demon for his nefarious purposes utterly failed, as the demon, as he emerged, took him back to Hell with him instead.
- There is no evidence that either Heaven or Hell even exist in the ride's continuity.