The defender has reached an agreement with Leeds United over the final year of his contract and will now look for a new club.
Nottingham Forest are set to be high on his list of options after a loan spell at the City Ground towards the end of last season.
Caretaker manager Gary Brazil was impressed with what he saw of the former Leicester City and Huddersfield Town man and is thought to have passed on his praise to incoming boss Stuart Pearce.
***Update*** Peltier has agreed a three-year deal with former club Huddersfield Town.