>>5147??? I've only lurked before. If you hallucinate and have psychotic thoughts as you say, that is qualification for a diagnosis of schizophrenia. It meets two criteria; hallucinations and delusions.
Schizotypal refers to the concept of schizotypy, which is that schizophrenia is on a spectrum and that everyone has a schizotypal function, responsible for creativity and such. On one end of the spectrum is normality, the other schizophrenia. Someone with "a schizotypal" or "schizoid mind" specifically referred to an otherwise normal person who shared characteristics of schizophrenics while not meeting diagnostic criteria for schizophrenia.
It is literally subclinical psychosis. Key word here being subclinical. But now its been referred to as a disorder when in fact it really referred to a simple personality trait because in psychiatry now every facet of one's mind and thoughts, every emotion, every dysregulatory imperfection, every brand of human suffering has to be called a mental disorder.