I am a subchapter S corp. I have an equipment loan at 5.5% interest with our bank.. We had to sign a personal guarantee along with the company receivables for this loan. My question is this... Can I get a home equity loan for 2%less and pay off the more expensive bank loan to reduce the payment each month? Am I allowed to do that and if I do that how is it handled on our books? Thanks

Yes, there is no law against you using your home as collateral to pay off a business loan. However, you will be responsible for payment, so if the company fails, you could lose your home.