can be pressing on the underlying nerves and hence causing pain and this swelling. It might also be infected. You need to get it surgically excised and removed and a course of topical and oral antibiotics prescribed.
It is very difficult to precisely confirm a diagnosis without examination and investigations and the answer is based on the medical information provided. For exact diagnosis, you are requested to consult your doctor. I sincerely hope that helps. Take care and please do keep me posted on how you are doing.