Responding to the trend among millennials in China of backing everyday expenses with micro-loans, China-based company Lexin Fintech specializes in enabling installment payments for smaller purchases like meals and entertainment

While traditionally loans have been used for big purchases, today many Chinese millennials are using them to pay to everyday expenses like eating out and going to the movies. China's high property prices have pushed people to take out loans on smaller purchases, which in turn encourages business for online micro lenders like Lexin Fintech.

The company lets people buy all kinds of goods on its marketplace, including cosmetics, electronics and even snacks, and pay for them in installments. While the service acts like an e-commerce platform, it also helps improves its users' credit, which can be helpful for millennials looking to better prepare for their future.

“Paying by installment is becoming a habit among young Chinese [born after 1990],” says Jay Xiao Wenjie, Lexin Fintech's founder. “They prefer installments because they are more interested in trying innovative things [and] don’t have much money, but are still very optimistic about the future.”

Lexin Fintech


Lead image: payment by credit card at restaurant stock photo from Africa Studio/Shutterstock

While traditionally loans have been used for big purchases, today many Chinese millennials are using them to pay to everyday expenses like eating out and going to the movies. China's high property prices have pushed people to take out loans on smaller purchases, which in turn encourages business for online micro lenders like Lexin Fintech.

The company lets people buy all kinds of goods on its marketplace, including cosmetics, electronics and even snacks, and pay for them in installments. While the service acts like an e-commerce platform, it also helps improves its users' credit, which can be helpful for millennials looking to better prepare for their future.