EXHIBIT 99.1

FOR IMMEDIATE RELEASE                                     Contact:
                                                          Richard F. Latour
                                                          President and CEO
                                                          Tel: 781-994-4800

                           MICROFINANCIAL INCORPORATED
           MICROFINANCIAL SECURES $30 MILLION LINE OF CREDIT FROM CIT

Woburn, MA - September 30, 2004 - MicroFinancial Incorporated (NYSE:MFI)
announced today that it has arranged for a three year, $30 million senior
secured revolving line of credit from CIT Commercial Services, a unit of CIT
Group (NYSE:CIT). This line of credit replaces the previous one year, $8 million
credit facility under more favorable terms and conditions including, but not
limited to, pricing at prime plus 1.5% or Libor plus 4%. In addition, it retired
the existing outstanding debt with the former bank group.

MicroFinancial is a financial intermediary specializing in vendor based leasing
and finance programs for microticket size transactions in the $500 to $10,000
range.

Richard Latour, President and Chief Executive Officer of MicroFinancial stated,
"We are delighted to receive this new senior credit facility from CIT which will
provide us with a greater level of flexibility in our product offerings to our
customers and vendors."

"We are pleased to provide this financing facility to help MicroFinancial
implement its strategic plan," said John F. Daly, President of CIT Commercial
Services.

ABOUT MICROFINANCIAL

MicroFinancial Inc. (NYSE: MFI), headquartered in Woburn, MA, is a financial
intermediary specializing in leasing and financing for products in the $500 to
$10,000 range. The company has been in operation since 1986. For more
information, visit www.microfinancial.com

ABOUT CIT

CIT Group Inc. (NYSE: CIT), a leading commercial and consumer finance company,
provides clients with financing and leasing products and advisory services.
Founded in 1908, CIT has nearly $50 billion in assets under management and
possesses the financial resources, industry expertise and product knowledge to
serve the needs of clients across approximately 30 industries. CIT, a Fortune
500 company, holds leading positions in vendor financing, factoring, equipment
and transportation financing, Small Business Administration loans, and
asset-based lending. CIT, with its principal offices in Livingston, New Jersey
and New York City, has approximately 5,800 employees in locations throughout
North America, Europe, Latin and South America, and the Pacific Rim. For more
information, visit www.cit.com

Statements in this release that are not historical facts are forward-looking
statements made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. In addition, words such as "believes,"
"anticipates," "expects," "views, " and similar expressions are intended to
identify forward-looking statements. The Company cautions that a number of
important factors could cause actual results to differ materially from those
expressed in any forward-looking statements made by or on behalf of the



Company. Readers should not place undue reliance on forward-looking statements,
which reflect the management's view only as of the date hereof. The Company
undertakes no obligation to publicly revise these forward-looking statements to
reflect subsequent events or circumstances. The Company cannot assure that it
will be able to anticipate or respond timely to changes which could adversely
affect its operating results in one or more fiscal quarters. Results of
operations in any past period should not be considered indicative of results to
be expected in future periods. Fluctuations in operating results may result in
fluctuations in the price of the Company's common stock. For a more complete
description of the prominent risks and uncertainties inherent in the Company's
business, see the risk factors described in documents the Company files from
time to time with the Securities and Exchange Commission.