When it properly unveiled its newest next-generation console at this year's E3 2013 Conference, Microsoft teased the idea that the Xbox One will feature a reputation system to punish those who abuse other players or cheat on Xbox Live and will give good gamers a way to avoid playing with those people in the future. Now, that policy has had a bit more light shed on it in terms of how it works.

"If you don't want to play with cheaters or jerks, you shouldn't have to," writes Micosoft's program manager on Xbox Live, Michael Dunn in a Xbox Wire post. "Our new reputation model helps expose people that aren't fun to be around and creates real consequences for trouble-makers that harass our good players."

According to the report, a player's reputation will ultimately put them in one of three distinct categories. The categories are color coded and help other players identify who is worth playing with and who isn't. There is "Good Player" (green), "Needs Improvement" (yellow) and "Avoid Me" (red). Which one pertains to you will be a direct result of your conduct online.

"The more hours you play online without being a jerk, the better your reputation will be; similar to the more hours you drive without an accident, the better your driving record and insurance rates will be," Dunne explains, "Most players will have good reputations and be seen as a "Good Player." The algorithm is looking to identify players that are repeatedly disruptive on Xbox Live."

It is important to note that a few minor offenses or bad reports will not immediately impact your gamer score.

"Even good players might receive a few player feedback reports each month and that is OK," writes Dunn. "The algorithm weighs the data collected so if a dozen people suddenly reporting a single user, the system will look at a variety of factors before docking their reputation."

Furthermore, according to IGN, before a player is put on the "Avoid Me" list, he or she will receive notifications from Microsoft instructing him or her on how to improve his or her reputation while in the "Needs Improvement" stage.