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No employer would ever say that.

Maybe the interview was for a low-end retail job e.g., a clothing store whose items that OP's daily-wear would completely out-class and thus remind customers of just how lousy the store's products are. And/or perhaps she comes across as being over-qualified as well.

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That's a thing now? I see. Just don't appear to be too rich for the job.

No employer would ever say that.

Well, some will not hire you if your too qualified. It’s a thing.

No reputable employer would ever say that

Maybe the interview was for a low-end retail job e.g., a clothing store whose items that OP's daily-wear would completely out-class and thus remind customers of just how lousy the store's products are. And/or perhaps she comes across as being over-qualified as well.