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Traffic congestion nowadays leads to a strong degradation of the network infrastructure and the high number of the vehicle which is caused by the population. With an increase in the number of vehicles and transportation demand, traffic congestion occurs. Conventional techniques are unable to handle variable flow with time. Hence the accident ratio is increases We all know that in order to control traffic and for the safety of the public, traffic signals are used. These signals are generally seen where two or more roads are connected to each other. These traffic signal rules are not generally followed by the people either due to lack of attention or due to speeding of vehicles which causes accidents frequently. Though accidents due to lack of attention to traffic signal cannot be avoided but accidents due to speeding of vehicles near traffic signals could be avoided. In order to avoid such kind of accidents near traffic signals; ‘smart signal system’ should be introduced. This system takes the total control of the vehicle in its own band. This project consists of two separate modules, i.e. transmitter and receiver. The transmitter will be attached to signals and receiver will be attached to vehicles. The information in the form of signals are sent by the system and they are received by the receiver attached to the vehicle. The vehicle control unit automatically alerts the driver and reduces the speed automatically. This system takes total control of vehicles for a few seconds. The proposed technique uses a small system to avoid accidents and hence safety is achieved.