If 1.5 A is the average output current, the peak current through the diode is higher. How much higher depends on the size and Q of the inductor. Page 11 of the 2002 datasheet describes the diode selection parameters. If the axial package is too large, use those parameters to select a different diode, maybe one in a surface-mount package.
What is # of your Schottky Diode? You can look up the diode Data Sheet to see the Absolute Maximum current for it. It may derated to 1.5A Max continuous. If so you can use it. otherwise use a 1.8A or greater Diode. You could also Heat sink the diode to increase the current capability. Epoxy an aluminum flag to it to dissipate heat. There are many things you can do to increase the current rating or just use a bigger diode.