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Here is a good technote page on text.
https://helpx.adobe.com/au/photoshop/using/creating-type.html
If you have a bounding box (Paragraph type) like what you have shown, you can convert it to Point type (without the bounding box) by:
Choose Type > Convert To Point Text
You can switch Point type to Paragraph by:
or Type > Convert To Paragraph Text.
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