With the development of digital inclusive finance and the widespread application of Internet technology, the traditional consumer credit model is also constantly innovating and is forming a new format of Internet consumer finance. It creates new consumer financial products to stimulate consumer demand in order to New supply creates new demand, and then drives new growth with new demand, giving full play to the basic role of consumption in the economy, thereby helping supply-side structural reform. The article uses liquidity constraints as an entry point, analyzes the impact mechanism of Internet consumer finance on household consumption, and then builds a dynamic panel GMM model based on 2011-2018 panel data to empirically analyze the impact of Internet consumer finance on household consumption demand and the effect on different income groups. The conclusions show that: Internet consumer finance eases the mobility constraints, promotes the increase of various types of consumption expenditures of urban residents, improves the consumption structure of urban residents, and supports the survival consumption expenditure and development enjoyment of residents. Consumption expenditure has a significant positive effect, especially for low-income groups with insufficient liquidity supply and lack of services.