Preheat your oven to 350°F (175°C).
In a frying pan over medium heat, cook the chopped bacon until crispy. Use a slotted spoon to transfer the bacon to a paper towel-lined plate to drain, keeping about 1 tablespoon of bacon fat in the pan.
In the same pan with the bacon fat, sauté the diced onion until translucent, about 3-4 minutes. Add minced garlic and sauté for an additional minute. Remove from heat and let cool slightly.
In a large mixing bowl, combine ground beef, cooked bacon, sautéed onion, garlic, breadcrumbs, shredded cheddar cheese, egg, Worcestershire sauce, salt, and black pepper. Mix until well combined, but don’t overmix.
Form the meat mixture into a loaf shape and place it in a baking dish or loaf pan.
In a small bowl, mix together the ketchup and mustard. Spread this glaze over the top of the meatloaf.
Bake in the preheated oven for 60 minutes or until the internal temperature reaches 160°F (70°C) when checked with a meat thermometer.
Remove the meatloaf from the oven and let it rest for about 10 minutes before slicing and serving.