Hi
If you use manifest variables, and the moderator is categorical, it might be better to do the analysis as multiple group, as that would give you full information of the change in relations per category group.
If the moderator is continuous, then the interaction approach is the best.
If you use latent factors as moderators, the method I recommend is the indicator product approach, you can use the function indProd() from semTools to create the indicator interaction terms. You can see the help of the function has examples on how to apply them with lavaan, the same approach applies with blavaan.
As you mentioned, the main 2 methods are mean center, or residual center. Between these 2, I havent seen substantial differences, might want to check if one of them is more applicable to your case
A modeling difference is that when using residual centering, the interaction factor needs to be uncorrelated to the other factors, while the mean center one does needs to be correlated
Estimation wise, I dont see a reason for either of these approaches to have convergence issues with MCMC
Marsh, H. W., Wen, Z. & Hau, K. T. (2004). Structural equation models of latent interactions: Evaluation of alternative estimation strategies and indicator construction. Psychological Methods, 9(3), 275–300. doi: 10.1037/1082-989X.9.3.275
Lin, G. C., Wen, Z., Marsh, H. W., & Lin, H. S. (2010). Structural equation models of latent interactions: Clarification of orthogonalizing and double-mean-centering strategies. Structural Equation Modeling, 17(3), 374–391. doi: 10.1080/10705511.2010.488999
Little, T. D., Bovaird, J. A., & Widaman, K. F. (2006). On the merits of orthogonalizing powered and product terms: Implications for modeling interactions among latent variables. Structural Equation Modeling, 13(4), 497–519. doi: 10.1207/s15328007sem1304_1