Mastodawn

Is there such a thing as "overqualified"?

Or is it just a term made up to find an easier reason to reject job applicants?

Yes. In professional settings that means with that degree you can expect a certain salary, and the position pays considerably less.

Colloquially it's also used for: You'll be bored with a task. Or waste your potential.

Or, you’ll leave as soon as you get a higher paying job so they don’t want to hire you.