Which of the following is NOT a valid type of mortgage loan originator license in California?

The choice identifying "ARES" as not a valid type of mortgage loan originator license in California is correct because it does not correspond to any recognized licensing authority or regulation related to mortgage loan origination in the state. In California, mortgage loan originators typically operate under specific licensing frameworks such as the California Finance Lenders Law (CFLL) or the California Residential Mortgage Lending Act (CRMLA), which ensure compliance with state regulations.

The CFLL is designed for lenders—not necessarily for individual originators—while the CRMLA governs residential mortgage lending practices specifically, allowing certain licenses for mortgage professionals. The DRE, representing the Department of Real Estate, is a licensing authority for real estate brokers and agents, which can also encompass some aspects of mortgage origination.

In contrast, "ARES" does not indicate an established or recognized licensing category for mortgage loan originators within California, making it the option that does not fit within the framework of valid licensing types. This understanding is crucial for compliance and ensuring that mortgage professionals are operating under the appropriate regulatory umbrella in California.