**Core Concept**
Septal hematoma is a collection of blood in the nasal septum, often resulting from trauma or injury to the nose. The nasal septum is a thin wall of cartilage and bone that separates the nostrils, and it contains blood vessels that can rupture and cause bleeding.

**Why the Correct Answer is Right**
A septal hematoma can lead to complications such as infection, abscess formation, and permanent damage to the nasal septum if left untreated. The hematoma can also cause the septum to become displaced, leading to nasal obstruction and breathing difficulties. The collection of blood in the septum can also lead to the formation of a sequestrum, a piece of dead bone that can become infected.

**Why Each Wrong Option is Incorrect**
* **Option A:** Incorrect because a septal hematoma can indeed lead to abscess formation, which is a collection of pus that can cause infection and damage to surrounding tissues.
* **Option B:** Incorrect because a septal hematoma can cause the nasal septum to become displaced, leading to nasal obstruction and breathing difficulties.
* **Option C:** Incorrect because a septal hematoma can indeed cause permanent damage to the nasal septum if left untreated.
* **Option D:** Incorrect because a septal hematoma can indeed cause the formation of a sequestrum, a piece of dead bone that can become infected.

**Clinical Pearl / High-Yield Fact**
It is essential to recognize the signs of a septal hematoma, which include nasal obstruction, bleeding, and facial pain. Prompt treatment with antibiotics and drainage of the hematoma can prevent complications and promote healing.

**Correct Answer: C. Septal hematoma does not always cause permanent damage to the nasal septum if left untreated.**