This study presents a detailed investigation of the Velika Vrbica loess‐palaeosol sequence, situated in the Wallachian Basin of northeastern Serbia, with the aim to reconstruct palaeoenvironmental changes spanning Marine Isotope Stages (MIS) 3 to 1. Using optically stimulated luminescence (OSL) dating, low field magnetic susceptibility (χ lf ), and mass accumulation rates (MARs), we have developed a robust geochronological framework and analysed sedimentary and environmental processes over the last glacial–interglacial cycle. The OSL chronology reveals consistent loess deposition from ~41 to 3 ka, with peak accumulation rates recorded during MIS 3 and late MIS 2. The MAR data challenge conventional models of loess formation, as higher deposition rates are observed during the interstadial MIS 3 compared to the Last Glacial Maximum. This finding suggests regional variations in aeolian activity and climate dynamics that differ from the widely accepted pattern of intensified dust deposition during colder glacial periods. The environmental magnetic record of the Velika Vrbica loess sequence presented here shows more similarities with equivalent sections in the Wallachian Basin than in the Vojvodina region. These findings contribute to the broader understanding of loess formation processes and palaeoenvironmental variability on a continental scale, reinforcing the importance of high‐resolution chronological and sedimentological studies in disentangling global vs. regional influences on past dust deposition.