What beliefs based on literal interpretation of the Bible called?

The literal interpretation of The Bible is just that, it's an interpretation. Theologian R.C. Sproul has aptly said "To interpret the Bible literally is to interpret it as literature. Simply put, this means that we are to interpret the Word of God just as we interpret other forms of communication, in its most obvious and natural sense." Problems arise when we start using a strictly wooden literal interpretation, disregarding such things as allegories, parables, apocalyptic hyperbole, fantasy imagery, or spiritualizing Scripture. The literal principle of Biblical interpretation gives you a deeper understanding to the text as you pay closer attention to genre, grammar, syntax, semantics and context.