hmm cool suggestions guys. I think the problem is more with the fact that the bagel gets toasted on both sides. I don't store them in the fridge, but before popping them in the oven toaster, i microwave them for like 15 secs.
A commercial bagel toaster only toasts the bagels on the inside.. and given that I like em double toasted, perhaps I really should play with the oven settings. I wonder if they sell those commercial bagel toasters for cheap for household use...