Preheat over to 350 degrees. In mixing bowl, combine ground beef, onion, eggs, bread crumbs, milk, salt and pepper. Mix well. Spread meat loaf mixture on 14 x 10-inch piece of foil. Sprinkle 1 ? cups shredded Cheddar cheese to 1-inch of edges of foil. Roll meatloaf from shorter side. Seal ends. Transfer to a 9 x 5-inch loaf pan, placing seam side down. Bake 50 minutes. Then pour ? cup tomato sauce over meat and bake 20 minutes. Sprinkle ? cup shredded Cheddar cheese on top. Let stand 10 minutes before serving.