Start by cooking the bacon in a skillet over medium heat until crispy, about 8-10 minutes. While the bacon cooks, peel and cut the potatoes into 1-inch chunks, dice the onion into small pieces, and mince the garlic cloves. Once the bacon is done, transfer it to a paper towel-lined plate to cool, then crumble it into bite-sized pieces. Reserve about 2 tablespoons of the bacon fat in the pan—this adds incredible flavor that we'll use shortly.
Heat the reserved bacon fat over medium heat and sauté the diced onion for 2-3 minutes until softened and fragrant, then add the minced garlic and cook for another minute. I find this quick sauté really deepens the flavor compared to adding raw aromatics directly to the slow cooker. Transfer the sautéed onion and garlic to your slow cooker, then add the potato chunks, crumbled bacon, broth, parsley, salt, garlic salt, pepper, and smoked paprika. Stir well to combine.
Cover the slow cooker and cook on HIGH for 4 hours, or until the potatoes are completely tender and break apart easily when pressed with a spoon. The slow cooking allows the flavors to meld beautifully while the potatoes become creamy.
Once potatoes are tender, decide on your texture preference. For a chunkier soup, mash the potatoes with a potato masher directly in the slow cooker, leaving some larger pieces. For a creamier soup, use an immersion blender to puree about half the potatoes while leaving some texture. While you're doing this, whisk the cornstarch with a splash of broth (about 3-4 tablespoons) in a small bowl to create a smooth slurry—this prevents lumps and ensures the soup thickens evenly without overpowering the creaminess.
Stir the cornstarch slurry into the soup, then add the full-fat sour cream and yogurt, stirring gently to distribute evenly. I always use full-fat sour cream because it gives a much better texture and richer mouthfeel than the low-fat version. Turn the slow cooker to LOW, add the sharp cheddar cheese in handfuls, and stir constantly until all the cheese is melted and the soup is smooth and creamy, about 2-3 minutes. Taste the soup and adjust seasoning with additional salt and pepper as needed—the cheese adds saltiness, so be cautious.
Ladle the soup into bowls and top each serving with crumbled bacon pieces from Step 1, shredded cheddar cheese, and sliced green onions for brightness and freshness. The warm cheese will slightly melt from the hot soup, creating an indulgent garnish.