A therapeutic device is provided for heating or cooling the skin and underlying body tissue. The device includes a handle and a thermally conductive head secured to the handle. The head includes a thermally conductive contact plate which is thermally isolated from the head. One or more Peltier effect devices are provided for heating or cooling the contact plate depending upon the polarity of the current. The head and handle function as a heat sink for dissipating heat generated by the Peltier effect devices. A fan is also provided within the head for heat dissipation purposes. A bag or pouch filled with a thermally conductive fluid may be mounted to the head and positioned adjacent to the contact plate. The bag or pouch conforms to the surface of the body to which it is applied. A porous bag may be employed if moist heat is desired. The contact plate may be connected to a high voltage source if electrical stimulation is desired.