In a large mixing bowl combine pretzels and peanuts. Set aside.
In a medium saucepan mix together condensed milk, chocolate chips and butterscotch chips. Cook over low heat stirring constantly until chips are melted (about 5 minutes). Remove pan from heat and stir in vanilla extract.
Pour saucepan mixture over the pretzel/peanut mixture and stir until thoroughly coated. Drop by rounded teaspoons onto waxed paper or foil. Cool (or chill) until firm. Store in covered container in cool place (or in fridge).
