Some of the health benefits of peanut oil include its ability to reduce cholesterol levels, protect heart health, boost cognitive function, improve the nervous system, strengthen the immune system, lower blood pressure, and protect the skin. Best cooking oil for frying and making Indian dishes and vegetables Most of the health benefits of peanut oil come from its diverse types of fatty acids, such as oleic acid, stearic acid, palmitic acid, and linoleic acid, among others. While unbalanced levels of fatty acids can be dangerous for your health, peanut oil has a very safe balance that can boost your health in a variety of ways, in addition to the health benefits from the other vitamins, minerals, and organic compounds found in peanuts.