Science & TechFact
Good websites never actually know your password.
Reputable services don't store your password but its hash: a fixed string that can't be reversed into the password. At login, your input is hashed again and compared. A random extra called a salt makes identical passwords produce different hashes, so precomputed lookup tables become useless.
Useful: If a service can email you your old password, it's storing it in plain text. Change it.
Source: en.wikipedia.org