Wallace was not included in Gordon Strachan's group for next month's friendly against Poland and saw 19-year-old Dundee United left-back Andrew Robertson and Sunderland full-back Phil Bardsley selected instead.
But Wallace does not believe the fact he is plying his trade in Scottish football's third tier should be a barrier to future call-ups.
He said: "I've never worried about it to be honest. You go back to the previous manager's comments that it would be difficult to pick players in this division.
"But I've always been professional, I've never taken the huff and I've never been too downbeat about it. I've always stayed positive and focused on my job at Rangers and on doing well.
"The new manager came in and said if you were doing well at that particular time, you would always have a chance no matter what level you were at.
"I took great confidence from that and the fact that I was in three or four of his squads. I will never get too negative on the situation."
Wallace praised Strachan for picking up the telephone and telling him personally he had just missed out.
He said: "He did give me a call, just to make me aware that I wasn't going to be in the squad this time around.
"Of course there is that bit of disappointment but I said to him I appreciated the call.
"I thought it was good management in the sense that he said I deserved a call, he was aware of what I was doing and I just missed out this time around.
"I've got a big game on Saturday, and big games coming up, so that's just what I'm looking forward to."
While Wallace took his omission on the chin, another left-back reacted more forcefully.
Huddersfield defender Paul Dixon, who made three Scotland appearances in late 2012, against Serbia, Macedonia and Luxembourg, feels he is out of the picture.
"I don't think I was anywhere near the squad, to be honest," the former Dundee United player told his club's official website.
"I knew Gordon Strachan was at Birmingham last weekend, but I think he was there to watch Chris Burke.
"I was quite annoyed not to be involved this time, because given how I have been playing I thought I would have a good chance of being involved. This has shown me that I don't have much chance.
"I'm over it now; I don't worry about it. At the end of the day it is Mr Strachan's decision; if he doesn't want to pick me that is his choice - I can't do anything about that.
"I'd love to play for Scotland again, but if I never do I can hold my head up high. I played three times for my country and I'm unbeaten, as well as being man of the match on my debut.
"They are memories that can never be taken away."