That's a rating. The higher it goes, the better they estimate you are. They rank people by letters too. I'll let someone else explain.
level
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In the US and only the US, ratings are given names or letters to express 200 point rating intervals. Note that the names and letters associations are only for USCF OTB tournaments. (There are similar names and intervals for correspondence chess, a different rating system, and a different rating system with similar names for games less than 30 minutes ... the so called Quick rating). Starting from the top
2400 + Senior Master
2200-2399 Master
2000-2199 Expert
1800-1999 A
1600-1799 B
1400-1599 C (most USCF members are in this interval, I think)
1200-1399 D
1000-1199 E
International FIDE ratings are similar (no letter grades, and experts are called candidate masters, no senior masters) but titles as IM, GM are a combination of ratings and "norms", that is, scoring a certain number of points against FIDE rated players in tournaments within a certain time limit. The FM title is rating based.
I hope this is what you were asking.
can some one plizzz! tell me what are the level of chess called and what is it called when you 1500 - 1600 and so on and stuff .. becuz i see my number go higher and im guessing that shows peapol how good or bad of a player you are