Both are used, but で would be more common. Your understanding about the two articles is correct, therefore only から is used for instance in the following situation. You are in a library, but they don't have the book you are looking for, so they tell you that they can borrow the book from another library. When they borrow it from another library for you, and you don't borrow it in another library, 他の図書館から借りましょうか is used. In other words, if they say 他の図書館で借りられますよ, it means you need to go another library.