The third season of The Devil Inside Series, also known as, The Necklace Series, or Psycho Series 2 premiered on July 20, 2018.
Seven months later after My Virtual Escape finally ended, the entire cast celebrates in Hawaii. However, The Devil, infuriated for not having Isaac's story told the way he wanted it to be and realizing that Psycho Kid's story is still continuing as the Psycho Series graphic novel will be released soon, made Jeffrey Sr. tackle and attack Jesse while he is talking to the Juggies on the beach. However, Jeffrey Jr. and Uncle Larry come to Jesse's aid by holding off Jeff Sr. while Jesse yanks off the necklace his father is wearing and chucks it into the ocean, never to be presumably seen again. Later, Jesse talks about that he is now feeling better since he finished completing My Virtual Escape and there isn't a darkness to him anymore. His cameraman Swift almost snaps, but Jesse and Larry stop him before he could, showing that they haven't fully recovered from what happened with Isaac. In the next few videos, the MVE cast members are finally home, but as Jesse tries to snap once again, Swift stops him. Jesse also mentions that there is a most dangerous and powerful snap that they have left to see in existence.
After Jesse and some of the cast members come home from Vidcon and just recently held a live show to celebrate the ending of the series, a redeemed Isaac came to visit Jesse through his character mirror and thanks him for making his life happy again with his sister still alive and well alongside their family and friends. Jesse also thanks Isaac for being a perfect example to those who have tragic backstories as well as family issues and for giving him a chance to prove himself that he is a great storyteller. However, Isaac somehow found the necklace and insisted that Jesse should take it, thinking he wanted it back. Luckily, Jesse immediately refused, thinking The Devil will return and possess him again, deciding that he wants Isaac to keep the necklace away from him instead. Afterward, Isaac leaves and Jesse is now happy and ready to help boost his YouTube channel back up again while he is also ready for new challenges and stories.
Since that event, The Devil or the necklace are nowhere to be seen, leaving The Devil's fate a mystery. But as the weeks start to go by, Jeff Sr. is suddenly acting like Psycho Dad by suffering anger problems, but now has turned a lot much angrier and serious unlike his character in the Psycho Series as it causes him to do chaotic things, including dumping Jesse and Jeffrey Jr.'s kites into someone else's swimming pool during their family vacation, smashing Jesse's camera yet again, punching his own TV, completely destroying his own basement walls, tearing and shredding apart the graphic novel after it is released, destroying an Amazon Alexa that Jesse had given to his family on Christmas Day and finally, smashing a computer belonging to Domenic "Dom" Maisto, a YouTuber who starred in My Virtual Escape and once became Jesse's cameraman due to him firing Swift for messing around with Angry Grandpa's car since after his death in late 2017, resulting in Swift working for Jeffrey Jr. by becoming his cameraman until Dom later became the editor when Jesse rehired Swift after Jeff Jr. fired him during a smoke grenade incident. This is because of Jeff Sr. being lied all the time and that the fact people like Jesse, Jeffrey Jr., Swift and Dom always keep disrespecting him and his stuff such as saying that he hates being filmed every day since Jeff Sr. doesn't like the camera in his face all the time, his lawnmower seat getting busted up as well as his lawnmower being painted pink, Jesse pranking him by pretending he was dating a YouTuber named Lance Stewart, him using his TV without permission while he was watching a wrestling match between Logan Paul and KSI with his friends, looking like a deranged idiot in the graphic novel, Jeffrey Jr. quitting his job again and lying about it, Jesse letting other people break into his property after an incident happened with Boogie when he came to the Ridgway Residence obsessed on wanting to get his copy of the graphic novel, and finally Dom living in the Ridgway Trailer without permission, resulting in him leaving due to being traumatized by Jeff Sr.'s actions and cutting ties with Jesse, who originally planned to have Dom become the editor of his YouTube channel for a whole year and also wanted to have him as the partner of Swift. This might have presumably been due to Jesse forgetting to snap Jeff Sr. out of his character after taking the necklace off his father or it might have been due to Jeff Sr. wearing it for a long time. It is also later shown that Jesse is again having problems with his characters and the necklace mysteriously returns to him while he was on a skiing trip with his high school friends, including his long-time friend and original cameraman Zachary "Corn" Cornatzer, who previously quit working for Jesse after the Psycho Series ended and had left New Jersey to get a job as a prison guard in California, but now has returned and reunited with Jesse after two years.
In the beginning of 2019, Jesse and Jeffrey Jr. are both evicted from the Ridgway Residence by Jeff Sr. after Jesse got forced to sign in an eviction agreement that he will move out on January 15th and buy a new house due to him not living in Los Angeles and lying about it to his family while at the same time dealt with a party hosted by YouTuber Miguel Mendez and his friends in the Ridgway pool shed. While Jesse is packing his stuff ready to move out, he is shown packing up The Devil's necklace. Sometime later, it was revealed The Devil is apparently "gone" as Jesse now embraces his presence and they write for as well as with each other. "Jesse" revealed the necklace contained no more magic, but Swift is still worried about getting his guts ripped out again while at the fact others suspect that "Jesse" is up to something evil. One month later after he and Jeffrey Jr. move into their new house, "Jesse" is shown still wearing the necklace, but nothing is happening so far as others think he is doing evil things while the fact that Jesse is suffering anger problems since he is struggling to control his temper as he starts to become very abusive, violent and cruel. However, unknown to everybody else, it was also soon revealed that "Jesse" had hidden a bag full of money in the house after he secretly stole it from a realtor's office known as Castle Real Estate who are the people that lend him and Jeffrey Jr. the new house. Later, it was somehow shown that Jesse has disappeared, showing that it was actually The Devil himself as he has once again returned and this time possessing Jesse by having his soul transferred into his body through the necklace. Even though "Jesse" said that he was using the necklace to embrace the darkness and that The Devil writes for him, it is likely that The Devil is lying or has double-crossed Jesse. During a party hosted by The Devil and Jesse’s business partner Brian Spitz, the money is suddenly taken and Joe, a mobster who works for an Italian mafia gang, is searching for it while The Devil, having found out that someone had stolen the money, angrily scolds the party guests for this as he demands to know where it is. Karen McCreery, a lady who works for Castle Real Estate, had recently found out that The Devil had stolen the money and confronts him about it. She even attempted to interrogate Swift, the party guests and Jesse's family about it getting stolen, but what ended up seriously happening was she got captured by Joe in exchange for the missing bag since it turned out that the money did actually belong to him and the mafia.
Sometime later, The Devil hosts a second MJN Cameraman Competition with Jeffrey Jr., Michael Green, Brian and Uncle Larry where he hires more Juggies to be selected and later invites them over to his house in order to compete and become the winner of the competition similar to the previous one. After many rounds and phrases in which others are kicked out, it eventually leads to the final round with the final competitors of the competition. There, two contestants are forced to violently fight each other to prove who will win and become The Devil's cameraman while Swift is instructed by The Devil to do evil things such as film the battle between Miguel and Corn, who was invited by The Devil to join the competition. Meanwhile, Jesse's cousin, Tom, who was among the many contestants of the competition, decides to quit as he will not be signing in a contract and not serve as The Devil's cameraman. In the end, Miguel is shot dead by Swift, who is then betrayed and killed by The Devil, but Corn somehow survives the fight and eventually becomes the winner of the competition. With The Devil now serving Corn as the new cameraman, Swift, who has now been revived along with Miguel, leaves after he had an epiphany earlier by realizing that he wants to quit as cameraman in order to get a job as a firefighter and do other things instead of filming all the time.
After searching for the stolen money that has been found from Boogie as he was revealed to be the one who took the money during The Devil's party and had hidden it inside an arcade machine while at the same time finding Karen at an abandoned meathouse in which she is rescued from the mafia and returned home afterwards, it finally leads to a showdown with Joe, who raids The Devil's house in an attempt to search for the money and get it back, only for him to get shot to death by Jeff Sr. and having his corpse buried in the woods to cover up the scene of the crime so that the police wouldn't get involved. However, Jesse, having been gone for a couple of months, finally returns by regaining control over his body and paid Jeff Sr. some of the remaining money so that he wouldn't own the house anymore after his father purchased it with most of the money from the bag so that he can have it as his own house ever since he felt being left alone in the Ridgway Residence when Jesse and Jeffrey Jr. moved out. Afterwards, Jesse has a final confrontation with The Devil and completely cuts ties with him since he is tired of being his puppet before casting him aside by throwing away the necklace and imprisons The Devil back inside the mirror in his bedroom to prevent him from returning to Jesse's world as he will remain trapped in the mirror for his crimes. As for the next couple of months, Jesse is on a mission worldwide to find and assemble millions of creators, fans, and YouTubers alike to StoryFire in order to make it the best platform in the entire world.