i created a file in my home directory called .Xdefaults, and added this stuff to it:
aterm*cursorColor:blue
aterm*colorMode:true
aterm*pointerColor:yellow
aterm*pointerColor2:yellow
aterm*borderWidth:0
aterm*tinting:#ffffff
aterm*loginShell:true
aterm*transparent:true
aterm*shading:50
aterm*background:white
aterm*foreground:light blue
aterm*scrollBar:false
aterm*fade: 60
!aterm*font: 9x15
aterm*font: 8x13
aterm*saveLines:4500
aterm*geometry:85x30
aterm*truetintingType:True
!
! colors
!
aterm*color0:rgb:00/00/00
aterm*color1:rgb:cc/66/66
aterm*color2:rgb:66/cc/66
aterm*color3:rgb:cc/cc/66
aterm*color4:rgb:66/66/cc
aterm*color5:rgb:cc/66/cc
aterm*color6:rgb:66/cc/cc
aterm*color7:rgb:cc/cc/cc
aterm*color8:rgb:63/33/33
aterm*color9:rgb:ff/99/99
aterm*color10:rgb:99/ff/99
aterm*color11:rgb:ff/ff/99
aterm*color12:rgb:99/99/ff
aterm*color13:rgb:ff/99/ff
xterm*cursorColor:blue
xterm*colorMode:true
xterm*pointerColor:yellow
xterm*pointerColor2:yellow
xterm*borderWidth:0
xterm*tinting:#ffffff
xterm*loginShell:true
xterm*transparent:true
xterm*shading:80
xterm*background:#dcdcdc
xterm*foreground:#800000
xterm*scrollBar:false
xterm*fade: 60
!xterm*font: 9x15
xterm*font: 8x13
xterm*saveLines:4500
xterm*geometry:85x30
xterm*truetintingType:True
!
! colors
!
xterm*color0:rgb:00/00/00
xterm*color1:rgb:cc/66/66
xterm*color2:rgb:66/cc/66
xterm*color3:rgb:cc/cc/66
xterm*color4:rgb:66/66/cc
xterm*color5:rgb:cc/66/cc
xterm*color6:rgb:66/cc/cc
xterm*color7:rgb:cc/cc/cc
xterm*color8:rgb:63/33/33
xterm*color9:rgb:ff/99/99
xterm*color10:rgb:99/ff/99
xterm*color11:rgb:ff/ff/99
xterm*color12:rgb:99/99/ff
xterm*color13:rgb:ff/99/ff
xterm*color14:rgb:99/ff/ff
xterm*color15:rgb:ff/ff/ff
you can edit colors and stuff...it's basic, but it works
i don't use Eterm, i just use aterm and xterm...Eterm has a config file someplace, but i don't remember where...if you read the Man page for Eterm, it will give you lots of info...just open a terminal (such as Eterm) and type man Eterm and it will/should come up.