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Mentalists do not use traditional "magic" in their routines (Although some do. David Copperfield and David Blaine are examples) They claim to possess psychic powers, usually telepathy and clairvoyance to gain the audience's attention, however, most mentalists nowadays read body language to create the act. Hypnosis is the most common form of Mentalism.
Magic, on the other hand, uses illusions and trickery to make the audience believe that the magician has special abilities. Popular "tricks" that magicians use are levitation, vanishing, and penetration. Most people who have ever seen a magic show has seen one or all of these tricks.
Not sure what act to book? Mentalists are good for the over 21 crowd; most use adult humor in their acts. Magicians are always a good standby for kid's birthday parties, bar/bat mitzvahs and various other family oriented events.