Health literacy is an important and well known predictor of health-seeking behaviors and health status. Some populations of persons living with HIV/AIDS (PLHA) are reported to have low levels of health literacy. Factors contributing to low levels of health literacy in traditionally underserved ethnic minority groups seeking community-based treatment services are many and include individual level predisposing and enabling factors as well as system enabling factors. The purpose of this study was to describe deficits in health literacy in a sample of 90 low-income HIV-infected Latino men and women reported to have problems with treatment adherence. Additionally, correlates of health literacy were examined to identify the relative impact of these factors in predicting lower levels of health literacy in this at-risk population. Results of the study indicated that years of education was associated with understanding HIV terms and accurately reading and understanding instructions on prescription bottles. In a multivariate context, individual predisposing and system enabling factors accounted for 22% of the variance in patients' understanding HIV terms. Individual predisposing and individual enabling factors accounted for 17% of the variance in reading and understanding instructions on prescription bottles. Further research is needed to examine the role of treatment programs in mediating relationships between individual predisposing factors and health literacy and the linkages between health literacy, health promotion behaviors, and subsequent health status in at-risk populations.