In a large pot, cook the chopped bacon over medium heat until crispy. Remove and set aside, leaving the drippings in the pot.

Add the diced onion to the pot and sauté until translucent, about 5 minutes. Stir in the minced garlic and cook for an additional minute.

Add the diced potatoes, chicken broth, salt, pepper, and thyme to the pot. Bring to a boil, then reduce heat and simmer until the potatoes are tender, about 20 minutes.

Using a potato masher, mash some of the potatoes in the pot to thicken the soup, leaving some chunks for texture.

Stir in the heavy cream and cooked bacon, and heat through for another 5 minutes. Adjust seasoning as needed.

Serve hot, garnished with shredded cheddar cheese and chopped chives.