Forest agreed a deal to sign Peltier on Monday, but the move appeared to be off after complications arose between the two clubs.
Bolton expressed an interest in signing the former Liverpool man, but now Forest have secured the signature of the player before the close of the loan window on Thursday.
Peltier's agent, Barry Whelan, says interest from other clubs held up the defender's move to Forest and that the former Leicester and Huddersfield full-back always had his heart set on a switch to the City Ground.
"We have been in conversations for the last three weeks with Nottingham Forest over a long-term move for Lee, but there has also been interest shown in him from two other big clubs and that complicated things," Whelan told Sky Sports.
"Lee has always wanted to go to Forest, but there were complications at the Leeds end which held things up.
"The issue has now been resolved and Lee is looking forward to going to Nottingham Forest and helping them in their bid to make the play-offs."