Peters' half-brother, Charles Bray, played for the Toronto Argonauts in the Canadian Football League (CFL).

On August 3, 1983, Peters was arrested by the Drug Enforcement Administration (DEA) at the Washington Redskins' training camp in Carlisle, Pennsylvania, accused of having taken $3,000 from an undercover DEA agent in return for assisting in two cocaine deals in Northern Virginia in the summer of 1983.

[3] On October 8, 1983, Peters was fined $10,000, placed on four years' probation and ordered to perform 500 hours of community work.

[2] In June 1984, NFL Commissioner Pete Rozelle declared that Peters was eligible to resume playing for the Redskins.

[4] Peters completed the terms of his plea deal and went on to be a successful high school football coach and social studies teacher in Texas and Oklahoma.