BEIJING — China's consumer finance firms saw fast expansion in assets and outstanding loans as small-sum and convenient loans became increasingly popular, according to an industry report.

By the end of September 2019, the total assets of China's consumer finance firms reached 493.8 billion yuan (about $70.7 billion), with outstanding loans at 460.4 billion yuan, serving more than 100 million clients, according to the latest report released by the China Banking Association.

China piloted four consumer finance companies in 2010 to provide consumer financial services to low- and middle-income clients. By September, China had 24 such firms making small consumer loans.

Consumer finance companies refer to non-banking financial institutions approved by the regulator to offer consumer loans to individuals. They are not allowed to absorb public deposits.