The microcapsules containing fragrant material as functional compound were produced by in-situ polymerization. The prepolymer was made from urea-formaldehyde(UF) and melamine-formaldehyde(MF) as wall materials of microcapsules. The effects of wall material, dispersing agent and ratio of wall material to core material on the mean diameter variation were investigated. Thermal efficiency and release behavior of microcapsules were measured. The resultant UF and MF microcapsules are capable of preserving fragrant oil for long self-life.