The 19-year-old right-back is set to join the Italian side on a season-long loan deal.
Wallace’s agent, Frederico Moraes, has revealed that the youngster is set to complete the transfer.
“He is undergoing his medical right now,” Moraes told Tuttomercatoweb.
“Wallace is truly very happy that things all went for the best and now he just wants to wear the Inter jersey as soon as possible.”
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Since Guus Hiddink arrived at the helm, Chelsea have improved considerably after a tricky start to the campaign.
Newcastle United are staring down the barrel of relegation to the Championship for the second time in the past eight years.