Prep the cheddar cheese, using the small side of a boxed or hand grater. You want small shreds.
To a large mixing bowl add mayo and cream cheese. Mix well until nice and smooth.
Add in grated onion, onion and garlic powder, cayenne pepper, and pimento peppers. Mix well.
Fold in finely shredded cheddar cheese in 3 parts. Use a hand mixer for much easier mixing. It should be well combined.
Place mixture into a deli container or airtight container. It can be served right away or I prefer to chill one hour.
Serve on with crackers, vegetable or on bread. Enjoy.
