My experience of Mormons, to be honest, is when I quote the Book of Mormon or their website or official Mormon doctrine or Pearl of Great Price, etc. they go "No! Not true!" so I'd again welcome your comments, first.
I'm honestly surprised that when you quote an official source, particularly a canonical one, you get comments like that. Are you sure you're not just paraphrasing and maybe doing so inaccurately?
Okay, the Mormon belief in Hell...
We believe that when a person dies, his spirit leaves his body but does not itself die or cease to exist. Rather, it continues to live as a cognizant entity, entirely able to reason, understand and make choices. We do not believe that anyone's spirit goes directly to Heaven immediately upon death. Instead we believe that it resides in an intermediate realm where it can continue to learn and grow until the time that Jesus Christ returns to begin His Millennial Reign and we are called to stand before God in the Last Judgment. For those who have lived righteously and who have accepted Christ and His gospel, this period of time can be likened to Paradise -- the place Christ told the repentant thief who hung next to him on the cross He would see him later that day. It will be a state of rest and joy. For the unrepentant wicked and for those who lived their entire lives never having heard of Jesus Christ, this will not be the case. They will find themselves in "Prison" -- the same place Jesus visited in spirit form during the time His body lay in the tomb. They will be tortured by the memory of their sins and by the knowledge that they must ultimately be held accountable for them. This is one use of the word "Hell" in Mormon thought. It will be an agonizing wait for these spirits.
We believe, however, that God, in His mercy, has provided a means by which those who did not have the opportunity to hear the Savior's gospel during their lives and therefore could not have been expected to accept it can hear it during the period of time in between their death and their resurrection. Believers in the state of Paradise will be proclaiming the gospel to those who are suffering in Prison/Hell. Some will reject their message, but many, having a real desire to know the truth, will hear the gospel, feel genuine remorse for their sins, and accept Jesus Christ's atoning sacrifice on their part. When they do this, they will be released from Prison/Hell and will be allowed to join those in Paradise to await with gratitude and joy the resurrection of their bodies.
There is one other use of the word "Hell" in Mormonism. Generally, though, we do not use the word Hell in this case, but the phrase, "Outer Darkness." There are a very few souls whom we believe will conscientiously deny Christ, even though the Holy Ghost testifies clearly to them who He is and what He has done for them. These individuals want no part of God or of Heaven and instead would actually prefer to be with the devil forever. These will not go to Heaven, but will be denied God's presence entirely. After they are judged, they will live eternally apart from God in "Outer Darkness." Certainly, Outer Darkness will be Hell, but we don't believe in a literal Lake of Fire.
