Preheat oven to 350°F (175°C) and lightly grease an 8×8-inch baking dish.
In a large bowl, mix cream cheese, sour cream, refried beans, taco seasoning, 1 cup of Mexican cheese, Pepper Jack cheese, and green chilies until well combined.
Spread the mixture evenly into the prepared baking dish.
Sprinkle the remaining 1 cup of Mexican cheese on top.
Bake for 25-30 minutes, until hot, bubbly, and the cheese is melted.
Garnish with optional toppings like green onions, tomatoes, cilantro, or jalapeño slices. Serve warm with tortilla chips.