1. Prepare Ingredients: Let cream cheese sit at room temperature for 30 minutes to soften, or microwave for 15-20 seconds until soft. If using block cheese, shred it. Drain the Rotel tomatoes.

2. Heat the Chili: In a medium saucepan over medium heat, add the canned chili. Stir occasionally and heat until warmed through, about 3-4 minutes.

3. Add Cream Cheese: Cut the softened cream cheese into cubes and add it to the warm chili. Stir continuously until the cream cheese melts completely and incorporates smoothly into the chili, about 2-3 minutes.

4. Add Rotel and Seasonings: Stir in the drained Rotel tomatoes, garlic powder, and cumin. Mix well to combine. Let the mixture simmer gently for 2 minutes.

5. Melt in Cheddar: Reduce heat to low. Add shredded cheddar cheese gradually, about ½ cup at a time, stirring constantly until each addition melts before adding more. This prevents clumping and ensures smooth, creamy texture.

6. Season and Finish: Taste the dip and adjust seasoning with salt and black pepper as needed. Remember that chili and cheese already contain salt, so add conservatively.

7. Serve: Transfer to a serving bowl or keep warm in the saucepan. Garnish with optional toppings like green onions, cilantro, or extra cheese. Serve immediately with tortilla chips, crackers, or bread.

Slow Cooker Method: Combine all ingredients in a 3-4 quart slow cooker. Cook on low for 1-2 hours or high for 30-45 minutes, stirring occasionally, until cheeses are melted and dip is smooth. Keep on warm setting during serving.

Oven Method: Combine all ingredients in an oven-safe baking dish. Bake at 350°F for 20-25 minutes until bubbly and cheese is melted, stirring halfway through. Broil for 2-3 minutes at the end for a golden, bubbly top.