My mother in law modeled for several years in NY / NJ. My wife modeled locally for annual back to school events and a uniform shop. My daughter auditioned and was hired as a model for a catalog that sold cheerleading, school drill team , and band uniforms. She also worked as a "model" for Abercrombie & Fitch and was in the running to be included in company sales ads.
Not only did they not need to pay to be considered, they were paid for their work. Spending more than the cost of some head shots is too much.
A former high school girlfriend has a daughter that started in our hometown the same way as my wife. The difference is this girl now lives in Miami Beach and doe swimsuit modeling and has done commercials as well as been in background shots for TV and movies. The sort of thing where there is a pretty girl in the background at a party or on a beach. She never paid a cent to anyone other than as management costs.
Making a living as a model is as rare and fleeting as being an NFL or NBA player. Those like my mother in law had a short but successful career. The daughter of my friend has had a longer career, but she isn't filthy rich. It will end without her becoming the next Christie Brinkley. It is dumb to pay $5,000 if they expect to get anything back. It is okay if they want to pay the money to satisfy a dream or knowing they are probably throwing their money away with an outfit that just wants their money.