What type of license must a buyer agent not receive compensation from?

A buyer agent in the motor vehicle industry typically acts on behalf of the consumer, helping them to find and purchase a vehicle that meets their needs. It is essential that the agent's loyalty lies with the buyer, which is why any compensation from a motor vehicle manufacturer could pose a conflict of interest. If a buyer agent were to receive compensation from a manufacturer, this could compromise their ability to represent the buyer's best interests fully, as they might be incentivized to promote certain vehicles or models regardless of the buyer's needs.

This is why the regulation restricts buyer agents from accepting compensation from motor vehicle manufacturers. It ensures that the buyer agent remains focused on serving the customer's interests without any external influences that could sway their recommendations or advice. In contrast, private dealers, resale agents, and public wholesalers do not present the same potential conflict, as these entities operate in different capacities that allow for varying types of compensation arrangements without compromising the buyer's agency.