Dear micole ,
The condition that you describe is suggestive of ingrown hair ..
they are faily common in areas subjected to friction and tight cloathing
1. wear natural fabric
2. avoid tight fitting clothes
3.. hot showers , use a mild exfolaiting shower gel (containing AHA'S) or a loofa to exoliate the area
4. dont have or wax the area till the condition is resolved ..
4 MORE serious conditions like FISTULA , Pilonidal sinus
also also have the similar apperence thus do visit a general physician for physican examination ..