Sort through the beans and remove any debris or damaged pieces. Rinse well. Place in a large bowl, cover with water, and soak overnight or at least 8 hours. Drain and rinse before cooking.

In a large soup pot or Dutch oven, cook the chopped bacon until crisp. Remove with a slotted spoon and set aside on a paper towel–lined plate.

Carefully blot out most of the bacon grease, leaving about 1 tablespoon in the pot.

Add the onion and jalapeños. Cook for 3 to 4 minutes, until softened. Add the garlic and cook for 1 minute.

Add the soaked beans and 8 cups of chicken broth. Stir and scrape up the browned bits on the bottom of the pot.

Bring to a boil, then reduce to a simmer. Cover and cook for about 1½ hours, or until the beans are tender.

Reduce heat to low. Stir in the seasoning packet from the bean package and the chili powder.

Add the shredded chicken, cream cheese, and cheddar. Stir until the cream cheese fully melts and blends into the broth. This can take 5 to 10 minutes of gentle stirring.

Remove from heat and let the chili rest for 10 to 15 minutes to thicken.

Serve topped with the reserved bacon, extra jalapeño slices, and more cheddar.