Grew up with this stupid interpretation that it refers to some small gate in Jerusalem that camels had to bend down to use or something.

Jesus literally gives the answer in the next sentence:

”Indeed, it is easier for a camel to go through the eye of a needle than for someone who is rich to enter the kingdom of God.” Those who heard it said, “Then who can be saved?” He replied, “What is impossible for mortals is possible for God.”“ ‭‭Luke‬ ‭18‬:‭25‬-‭27‬ ‭NRSV‬‬

God can save anyone. And my layman’s interpretation on top of it, no man can save himself.

With copilot starting to roll out this seems reasonable