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Q:
How do "secure servers" work? When I give
my information, is it really safe?
A:
There are two things that indicate a secure web page:

First,
you will notice that the domain changes to "https://".
Second, a little padlock appears in the status bar
at the bottom of your browser.
When
you log onto a secure server it communicates with
your browser for a few seconds. During this communication,
it sends your browser encryption information that
only it and your browser can read.
Once
this encryption is set, it acts like a normal web
page, except that all info coming or going is encrypted.
This encryption makes it extremely difficult for any
third party who would intercept the transaction to
decipher it. All this extra protection is why secure
servers seem to run slower than their non-secure counterparts.
Secure
connections only protect the info as it is coming
and going, not when it's just sitting on the server.
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