Preheat the Oven: Preheat your oven to 350°F (175°C). Gently coat a 9x5-inch loaf pan with oil or line it with parchment paper to facilitate easy removal.

Cook the Bacon: Fry the bacon in a skillet over medium heat until it reaches a crispy texture. Move it to a plate lined with paper towels to absorb any excess grease. After it cools, chop the bacon into small pieces and set aside.

Prepare the Dry Ingredients: In a spacious mixing bowl, combine the all-purpose flour, baking powder, salt, and granulated sugar, whisking them together until thoroughly mixed.

Incorporate the Cream Cheese: Add the softened cream cheese to the dry ingredients. Use a fork or pastry cutter to cut the cream cheese into the flour mixture until it resembles coarse crumbs.

Add the Jalapeños, Bacon, and Cheese: Stir in the diced jalapeño, chopped bacon, and 1 ½ cups of the shredded cheddar cheese, reserving ½ cup of cheese for topping. Mix until the ingredients are evenly distributed throughout the flour mixture.

Mix the Wet Ingredients: In another bowl, mix the buttermilk and vegetable oil together. Pour this mixture into the bowl with the flour mixture and stir gently until they are just combined. Take care not to overmix; the batter should be thick and have a few lumps.

Pour into the Pan: Transfer the batter to the prepared loaf pan and smooth it out evenly across the surface. Sprinkle the remaining ½ cup of shredded cheddar cheese over the top of the batter.

Bake the Bread: Bake in the preheated oven for 45-55 minutes, or until a toothpick inserted into the center of the bread comes out clean and the top is golden brown. If the top begins to brown too fast, loosely cover it with aluminum foil for the final 10 to 15 minutes of baking.

Cool and Serve: Let the bread cool in the pan for approximately 10 minutes, then move it to a wire rack to cool completely. Serve warm, sliced, and enjoy the cheesy, spicy goodness!