Anonymous
Not applicable

Deductions & credits

The example here seems to say otherwise:

 

You secure a loan with property used in your business. You use the loan proceeds to buy an automobile for personal use. You must allocate interest expense on the loan to personal use (purchase of the automobile) even though the loan is secured by business property.

 

https://www.irs.gov/pub/irs-pdf/p535.pdf , page 14