Chang was born in Shanghai; China. Her birth name was Zhang Ying. She was the daughter of Zhang Zhiyin (1896-1953) and Huang Suqin (1893-1957). Chang's paternal grandfather; Zhang Peilun; was son-in-law to Li Hongzhang; an influential court official during the Qing Dynasty; who married Chang's paternal grandmother; Li Juyu (1866-1916). Her maternal grandfather; Huang Yisheng; was a prominent naval commander.

She is noted for her fiction writings that deal with the tensions between men and women in love; and are considered by some scholars to be among the best Chinese literature of the period. Chang's portrayal of life in 1940s Shanghai and occupied Hong Kong is remarkable in its focus on everyday life and the absence of the political subtext which characterised many other writers of the period.

Chang's enormous popularity and famed image were in distinct contrast to her personal life; which was marred by disappointment; tragedy; increasing reclusiveness; and ultimately her sudden death from cardiovascular disease at age 74.