Damage and usage conditions in the vicinity of fasteners in joined structures are nondestructively evaluated using the fasteners themselves. Sensors or sensor conductors are embedded in the fasteners or integrated within the fastener construct, either in the clearance gap between the fastener and the structure material or as an insert inside the shaft or pin of the fastener. The response of the material to an interrogating magnetic or electric field is then measured with drive and sense electrodes both incorporated into the fastener or with either drive or sense electrodes external to the fastener on the material surface. In another configuration, an electric current is applied to one or more fasteners and the electric potential is measured at locations typically between the driven electrodes applying the current. The potential is measured circumferentially around the fastener at locations on the material surface or across pairs of fasteners throughout or along the joint. The voltage or potential measurement electrodes may be collinear with the drive electrodes. State sensitive material layers can be added either to the fastener or the test material layers in order to enhance observability of the test material condition, such as the presence of a crack, mechanical stress, delamination, or disbond.