Prolapsed hemorrhoids are hemorrhoids that are not in their natural position and actually extend outside of the anal canal. There are four different stages of hemorrhoids and three of them have prolapsed hemorrhoids. They include the first stage in which the hemorrhoid is not prolapsed. The second stage has prolapsed hemorrhoids but the hemorrhoids go back naturally when the bowel movement is complete. The third stage is when the prolapsed hemorrhoids have to be moved back into place manually and the fourth stage is when the prolapsed hemorrhoids remove outside of the canal.