Character Creation lets the player customize their character, offering the choice between eight races of Tamriel and the 18 character classes available in Arena.
The Eternal Champion picks their name and is then given two choices: One, to answer ten questions regarding their moral, and ethical reactions and decisions to different situations and problems to automatically pick a class that would best suit the player. This automatic selection, according to the manual, "...only reflects what you would probably survive longest as, based upon the way you answered the questions.", and should only be used as a guideline. The second option is simply selecting a class from a list of eighteen character classes, without any help.
The Champion is shown a map of Tamriel, where they must select a home province. Each province corresponds to the race native to that province. For example, choosing High Rock makes the Champion a Breton. Each race provides a different bonus as described in Races.
The Champion is then presented with the Character Sheet, or the "stat-generation screen." All stats for every Champion range from 1 to 100, with 50 being the general average for a basic character. The Champion is given a randomized amount of bonus points, which they can apply to their traits to benefit them in their endeavors, along with a randomized amount of Gold in their starting collection. The amount of septims appears to be maximized at 200. If the player is not happy with the random generation, they can reroll the character at any time prior to accepting the character.
After the stats have been accepted, the Champion may choose their head and hair from a preset list. The choices of head and the rest of the body varies due to their selection of race, sex and class for their character.