Literal translation. Attempts to keep the exact words and phrases of the original. It is faithful to the original text, but sometimes hard to understand. Keeps a constant historical distance. Examples: King James Version (KJV), New American Standard Bible (NASB).

Dynamic equivalent (thought for thought) translation. Attempts to keep a constant historical distance with regard to history and facts, but updates the writing style and grammar. Examples: New International Version (NIV), God’s Word Translation (GW). This style of interpretation does allow for interpretation of the text. This is especially true when the translation is largely the work of a single, or very small group, of translator(s). Both of the examples above had broad input by scholars and translators.

Free translation (paraphrase). Translates the ideas from the original text but without being constrained by the original words or language. Seeks to eliminate historical distance. Readable, but possibly not precise. Examples: The Living Bible (TLB), The Message. Many paraphrases are the work of either a single, or very small group, of translator(s). You will definitely be hearing the interpretation of the translator in these translations. The Message has had great benefit, even though it is largely the work of one man, Eugene Peterson. It began as he attempted to write the Scripture in a way his children could understand. Many years later, he had translated the entire Bible. As you expand your library of Bible translations, it is one to include.

This graphic is included to show a visual of popular translations and how they fall on the type of translation.

Most translations are available in several different types of Bible.
Here are just a few of the many different kinds of Bibles.
Traditional. Text only. Minimal footnotes.
Study Bible. Such Bibles usually have extensive footnotes and explanatory notes next to the columns of text. They may also have extensive cross references, a narrative commentary, and maps. (Some also have a cyclopedic index and/or a concordance—see Reference Bible.)
Reference Bible. Usually has a cyclopedic index (like an encyclopedia with a reference to the verse where the word or thought is used), a concordance (like a dictionary of common words with examples of their usage and verse references for each example), and maps.
Studying the Bible
“Place in Life” Bible. Has meditations and thoughts about issues of concern to people at a particular stage in life. There are versions of these Bibles aimed at men, women, sports players, recovering addicts, new believers, converted Jews, small group members, and many others.
One-Year Bibles. Divided into 365 readings for each day of the year, usually with each having a portion of the Old Testament, New Testament, Psalms, and Proverbs.
Chronological Bible. Entire Bible in one continuous story with narration to cover gaps and make everything flow. The four gospels are harmonized into one, for example, and the writings of the prophets are placed in the proper historical place in the books of history.
Pastor’s Bible. Includes protocol outlines and recommended verses for hospital visits, weddings, funerals, and other events. Often has answers to frequently asked questions.
Children’s Bible. Usually includes color drawings, maps, and simplified stories.
Parallel Bible. Has from two to eight translations side by side.

I include the graphic below, just to demonstrate how our English Bible has come to us. The original translations were based on the earliest texts available. Modern archaeology has contributed many additional documents that were not available when the original translations were made. This graphic helps to understand how the earliest translations have informed more recent translations which also include the benefit of additional documents.