We consider the issue of high peak-to-average-power ratio (PAPR) of Orthogonal time frequency space (OTFS) modulated signals. This paper proposes a low-complexity novel iterative PAPR reduction method which achieves a PAPR reduction of roughly 5 dB when compared to a OTFS modulated signal without any PAPR compensation. Simulations reveal that the PAPR achieved by the proposed method is significantly better than that achieved by other state-of-art methods. Simulations also reveal that the error rate performance of OTFS based systems with the proposed PAPR reduction is similar to that achieved with the other state-of-art methods.